AI, markets, and power: A conversation with Paul Krugman (2025 re-run)

The conversation centers on the economic implications of AI, comparing current tech valuations to the dot-com bubble. Paul Krugman and Azeem Azhar debate whether today's revenue streams justify high valuations, considering factors like the rapid adoption rate of AI and the potential for existing tech giants to maintain dominance. Krugman points out that even great technology doesn't necessarily justify high valuations, referencing the telecom bubble of the 90s. They also explore the potential for AI to displace highly skilled jobs and the challenges of addressing inequality in the face of technological advancements. The discussion further covers the impact of economic nationalism and geopolitical fragmentation on global trade, with technology potentially substituting for globalization. They conclude with the renewable energy revolution as a hopeful prospect for development, especially for smaller countries.