Infrastructure improvement may save economy

Investing heavily in the nation’s infrastructure may be the key to revitalizing the American economy. That was the theme put forward by the speakers during a conference by the organization Campaign for America’s Future.

Representative Keith Ellison (D-Minn.), who penned the National Infrastructure Bank Bill, described infrastructure investment as an important part of any stimulus plan since it would create jobs for those immediately involved in the construction as well as in related trades and industries.

“The infrastructure investment would also have a larger and much longer term impact. A strong and efficient transportation system, especially including sustainable transit solution, creates a healthy environment for business investment which in turn creates more regional jobs long after the roads have been paved and the bridges built.”

Ellison went on to describe how improving the infrastructure should not just be based around roads and bridges, but should also include providing broadband internet access to rural communities along with other investments in technology.

Eric Lotke, Campaign for America’s Future director, elaborated how investments made infrastructure would yield economic benefits.

“Every billion dollars invested in public transportation creates… 20,000 new jobs,” said Lotke. “Every dollar in public transport gets you something like 6 dollars in economic returns. This is growth. This is recovery. This is what we need to get the economy going. We need a short term stimulus.”

According to Representative Rosa DeLauro (D-Conn.), rebuilding infrastructure may serve as a way to improve the environment.

“Today we must build green infrastructure that makes us more energy efficient and reduces our reliance of foreign oil. That means constructing smart power grids, constructing buildings that consume less energy, making alternative fuels more accessible, diversifying our energy sources, and making public transportation systems more efficient,” said DeLauro.

Economic Institute research and policy director John Irons countered the conventional wisdom that the recent economic crisis has made improvements financially impossible, arguing that the current deficit is not historically unique and that it may be especially wise to invest now.

“Deficits are okay in a recession…this is precisely the time we don’t want to worry about deficits, this is the time we need a rescue package, we need infrastructure investments, and we need other investments to ensure our economy gets back on track,” said Irons.