This Econ 102 podcast episode features an interview with Erik Torenberg, discussing his new book, "Weeb Economy," and broader geopolitical and economic issues. The conversation covers the evolving US-Europe relationship, arguing that the US is disengaging from Europe to focus on China, potentially hurting US economic interests despite strengthening Europe. Torenberg also analyzes China's shift from the Belt and Road Initiative to a more traditional globalization strategy, focusing on offshoring manufacturing to mid-income countries. Finally, the discussion touches on the impact of AI on economic growth, suggesting a potential 5% increase but highlighting potential bottlenecks due to legal and institutional factors. The episode concludes with a discussion on the accuracy of including government spending in GDP calculations.
