Why This Is Exactly the Time to Rebuild America’s Infrastructure

Rebuild Americas Infrastructure

Cars are strewn on the collapsed portion of the Interstate 35W bridge, which stretches between Minneapolis and St. Paul, after it collapsed Wednesday, Aug. 1, 2007, into the Mississippi River during evening rush hour. (Brandi Jade Thomas | Pioneer Press)

Why Rebuild America’s Infrastructure?

Seems like only yesterday conservative nabobs of negativity predicted America’s ballooning budget deficit would generate soaring inflation and crippling costs of additional federal borrowing.

Remember Standard & Poor’s downgrade of the United States? Recall the intense worry about investors’ confidence in government bonds — America’s IOUs?

Hmmm.

Last week ten-year yields on U.S. Treasuries closed at 1.83 percent.

In other words, they were wrong.

In fact, it’s cheaper than ever for the United States to borrow. That’s because global investors desperately want the safety of dollars. Almost everywhere else on the globe is riskier. Europe is in a debt crisis, many developing nations are gripped by fears the contagion will spread to them, Japan remains in critical condition, China’s growth is slowing.

Put this together with two other facts:

  • Robert ReichUnemployment in America remains sky-high. 14 million Americans are out of work and 25 million are looking for full-time jobs.
  • The nation’s infrastructure is crumbling. Our roads, bridges, water and sewer systems, subways, gas pipelines, ports, airports, and school buildings are desperately in need of repair. Deferred maintenance is taking a huge toll.

Now connect the dots. Anyone with half a brain will see this is the ideal time to borrow money from the rest of the world to put Americans to work rebuilding the nation’s infrastructure.

Problem is, too many in Washington have less than half a brain.

Robert Reich
Robert Reich’s Blog

To read more about America’s infrastructure follow these links:

We Ignore Our Infrastructure at Our Peril by Carl Zimring

LA’s Reluctance to Bet on Black by Anthony Samad

Published by the LA Progressive on September 26, 2011
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About Robert Reich

Robert B. Reich is Professor of Public Policy at the Goldman School of Public Policy at the University of California at Berkeley. He has served in three national administrations, most recently as secretary of labor under President Bill Clinton. He has written eleven books, including The Work of Nations, which has been translated into 22 languages; the best-sellers The Future of Success and Locked in the Cabinet, and his most recent book, Supercapitalism. His articles have appeared in the New Yorker, Atlantic Monthly, New York Times, Washington Post, and Wall Street Journal. Mr. Reich is co-founding editor of The American Prospect magazine.

Reich has been a member of the faculties of Harvard’s John F. Kennedy School of Government and of Brandeis University. He received his B.A. from Dartmouth College, his M.A. from Oxford University, where he was a Rhodes Scholar, and his J.D. from Yale Law School.