What's Happening?
The Swiss National Bank (SNB), the Federal Reserve Board (FRB), and the Bank for International Settlements (BIS) are co-hosting a high-level conference on Global Risk, Uncertainty, and Volatility in Zurich from May 11-12, 2027. The conference will bring
together policymakers and academics to discuss the challenges posed by technological transformation and artificial intelligence. Key areas of focus include the measurement and economic implications of risks and uncertainties related to new technologies, such as their impact on macroeconomic conditions, labor markets, firm-level effects, and financial markets. The event will also delve into policy design and governance, specifically monetary and fiscal policy under technological uncertainty, international coordination, and cross-border spillovers. Cybersecurity, including national security considerations and economic policy, is another critical topic. The deadline for paper submissions is December 11, 2026.
Why It's Important?
This conference is highly significant for the U.S. and global economies as it addresses the profound impact of technological advancements, particularly artificial intelligence, on financial stability and economic policy. The discussions will directly influence how central banks and regulatory bodies, including the Federal Reserve, approach emerging risks and uncertainties. Insights gained from this conference could shape future U.S. monetary and fiscal policies, especially concerning labor market adjustments, financial market stability, and the regulation of new technologies. The focus on international coordination and cross-border spillovers highlights the need for a unified global strategy to manage these challenges, which is crucial for maintaining the stability of the interconnected U.S. and international financial systems. U.S. businesses and financial institutions will be directly affected by any policy shifts or regulatory changes stemming from these discussions.
What's Next?
The conference in May 2027 will feature a panel discussion by senior policymakers, indicating that the outcomes are intended to directly inform policy decisions. Following the event, it is anticipated that central banks and financial authorities, including the Federal Reserve, will consider the research and discussions to refine their approaches to technological uncertainty and risk management. This could lead to new research initiatives, policy recommendations, or adjustments in regulatory frameworks concerning AI, cybersecurity, and their economic implications. The call for papers suggests that cutting-edge academic research will be presented, providing a foundation for future policy development and international cooperation in addressing these complex issues.
Beyond the Headlines
The conference's focus on technological progress as a central driver of economic growth, yet inherently uncertain, points to a fundamental shift in economic paradigms. The rapid pace of innovation in AI and digital platforms creates both immense opportunities and significant systemic risks that traditional economic models may not fully capture. The discussions on labor market adjustments and distributional effects highlight the potential for social and economic inequality if these technological shifts are not managed effectively. Furthermore, the emphasis on cybersecurity as a national security consideration underscores the growing convergence of economic, technological, and geopolitical concerns. The long-term implications involve not only economic stability but also societal resilience in an increasingly digital and interconnected world.
