Wednesday, December 10, 2008

J.K.Galbraith says invest in rail and transit

...Economic recovery in an existential crisis like this means actually building a new economy. For that, we need investment-to restore our roads, rails, transit, broadband, and water systems, to build parks and museums and libraries, to protect the environment. Right now, states and localities can't borrow for these things. Creating a National Infrastructure Fund, using Uncle Sam's borrowing power to put money where it's needed, is one way forward. Federal capital spending should be bond financed and exempt from budget rules, especially pay-as-you-go. It makes no sense to finance projects whose benefits will last for 50 years solely from tax revenues of today... commondreams