An AI bubble will not trigger a financial crisisThe difference in the investment priorities leading up to the dotcom collapse and the 2008 financial crisis show why an AI correction will not be too badBy Lenny Mendonca and Martin Neil BailyA familiar anxiety has returned to financial markets. With artificial intelligence (AI) investments running into the trillions, are we witnessing a bubble and what will happen if it bursts? Our experience tells us that even if an AI correction comes, it will not trigger the kind of financial crisis that devastated the economy in 2008 and 2009. Understanding that AI speculation is unlikely to trigger a financial crisis means that policymakers should get their priorities right. The 2008 financial crisis taught policymakers to be vigilant about financial-stability risks, but there are important differences between asset classes and financing structures.

Source: Taipei Times March 10, 2026 16:01 UTC