Janet Yellen, recently inducted into the National Women’s Hall of Fame for 2026, reflected on her legacy in a conversation with Fortune. She expressed that this recognition holds special meaning as it highlights the broader story of women’s struggle for equality in America. Yellen, the first woman to chair the Federal Reserve and later serve as Treasury Secretary, emphasized her pride in the critical roles she held during challenging times, including managing the worst financial crisis since the Great Depression and helping the economy recover. Her tenure at the Fed involved navigating complex economic and political pressures, alongside efforts to advance American economic welfare. Presently, as Treasury Secretary, Yellen is actively addressing the risks and opportunities posed by artificial intelligence in the financial system. She has warned of significant risks associated with AI, particularly in finance, while acknowledging its potential to improve services like cybersecurity and fraud prevention. The Treasury Department under her leadership recently launched a public request for information to gather insights on AI’s uses and risks in the financial sector, underscoring her commitment to balancing innovation with stability and safety in the economy.
Trump’s Fed fight
Former President Donald Trump has been vocal about his desire to influence Federal Reserve policy and appointments, with a particular focus on leveraging artificial intelligence to drive a new economic boom similar to the 1990s. Trump predicts that his preferred Fed candidates, combined with AI advancements, could reignite strong economic growth. However, economists remain skeptical about how much impact this combination will have. Trump’s AI strategy emphasizes deregulation to foster innovation, calling for a unified federal standard to regulate AI, warning that overregulation could stifle its development. His AI and crypto adviser, David Sacks, has been outspoken against federal bailouts for AI companies, opposing suggestions from some industry figures for government financial backstops. Trump has also convened meetings with banking leaders to discuss AI models and the financial sector’s future. This stance reflects a broader effort to position AI as a key driver of economic policy and competitiveness, while minimizing government intervention, contrasting with calls from other policymakers for cautious oversight of AI’s expanding role in the economy.
