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I predicted the 2008 crash. The next crisis is coming | Ann Pettifor

In this in-depth interview, leading economist Ann Pettifor delivers a powerful and timely warning about the future of the global economy, arguing that the next major financial crash could be triggered by the bursting of the rapidly inflating AI bubble. As billions in speculative investment flow into artificial intelligence, Pettifor explains how today’s hype cycle around AI mirrors the dynamics that preceded past crises. Pettifor highlights how major AI firms such as Palantir, OpenAI, and Anthropic are at the centre of this rapid expansion. While these companies are driving innovation, she raises concerns about the scale of capital flowing into the sector, the lack of transparency, and the growing influence these firms wield over governments, markets, and public discourse. According to Pettifor, without proper oversight, this concentration of power risks inflating valuations far beyond sustainable levels. A key theme of the interview is the long-term erosion of regulatory safeguards, particularly in the United States but also across global financial systems. Pettifor argues that decades of deregulation have systematically weakened the institutions designed to manage risk and protect the public interest. This chipping away at financial regulation, she suggests, has allowed wealth to concentrate among elites while increasing systemic vulnerability. The conversation also explores the idea of a permacrisis. A state in which economic instability becomes constant due to overlapping shocks, including technological disruption, financial speculation, and political fragility. Pettifor warns that without decisive regulatory reform, the global economy could remain trapped in this cycle of recurring crises, with ordinary people bearing the brunt of each downturn. Importantly, Pettifor does not reject AI outright. Instead, she makes the case for robust democratic control over emerging technologies, arguing that innovation must be aligned with public purpose rather than private profit. Stronger regulation, she insists, is essential not only to prevent another financial crash but also to ensure that the benefits of AI are shared more equitably. This must-watch interview is essential viewing for anyone interested in economics, artificial intelligence, financial markets, and the future of global capitalism. Pettifor offers a clear-eyed analysis of the risks ahead—and a compelling argument for why urgent action is needed to avoid the next crisis. Like PoliticsJOE? We need your support: https://www.patreon.com/PoliticsJOE