A Washington Post investigation by Shira Ovide has exposed the massive gap between Generative AI promises and economic reality. The White House's claim that AI contributed half of US GDP growth was pure fiction, revealing how Silicon Valley narratives became unquestioned gospel in Washington without proper scrutiny.

Gary Marcus, a prominent AI critic, argues this overhyping has caused more harm than good. Despite billions in investment, Large Language Models still hallucinate, make boneheaded errors, and lack proper understanding of reality. A recent survey found they can only handle 2.5% of human tasks - and that's an overestimate since physical labor was excluded.

Marcus contends that while Generative AI has some practical applications like coding, it's an inherently unreliable technology that's flooding the zone with misinformation, threatening educational systems, and potentially destabilizing the economy when investments collapse. The technology has been sold as if it were artificial general intelligence when it's fundamentally not, creating expectations no current product can meet. With banks and investors now exposed to massive risk, the countdown to a market correction has begun.