The rapid expansion of artificial intelligence may lead to both political unrest at home and rising global tensions, according to BCA Research’s Chief Geopolitical Strategist Matt Gertken. In a recent note, Gertken highlighted the potential for AI to disrupt traditional systems of governance and international cooperation.
His comments followed two significant moves by the Trump administration: executive orders aimed at accelerating AI development in the U.S. and an unusual visit by the former president to the Federal Reserve, where he pressed for lower interest rates. Gertken said these actions “point to deeper questions about political and geopolitical changes amid the explosive growth of artificial intelligence.”
In his assessment, Gertken stated bluntly, “Artificial intelligence will destabilize domestic politics and international security.” He warned that AI’s influence could deepen internal political divides and fuel suspicion among world powers.
“Going forward with AI, domestic political instability will remain a problem,” he wrote. Gertken anticipates that the U.S. will respond by turning to higher corporate taxes and “more creative fiscal policy,” with a focus on the tech sector.
On the global stage, he cautioned that military innovations tied to AI would likely “increase strategic distrust,” and that the technology’s ability to spread information at scale won’t necessarily foster closer international relations. “The spread of ideas will not necessarily increase trust,” he added.
BCA Research concluded that the accelerating influence of AI could create fresh challenges for markets and policymakers, forcing adjustments in how monetary and fiscal policy are managed. Gertken warned the AI revolution could usher in a new era of global instability, reshaping both economic frameworks and geopolitical risk landscapes.
This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.