Was the Economic Stimulus Bill a Good Idea?
Last Friday, Governor Jim Douglas (R-VT) and Senator Pat Leahy (D-VT) and is included in the co-sponsored a workshop in Vermont for the recovery of America and Reinvestment Act (aka ARRA aka “the draft stimulus bill), and 700 people would have more wine, if there is more space available on the Champlain College. There were many questions, of course, some of which were responses to others, which’ll have to wait for answers.
The question that sticks in my opinion was a woman in the room and asked me: “Bill was the economic stimulus a good idea?”
The answer is up to us to be a good idea, so I really do not know yet. Spend that money is an opportunity quickly. If we do a good job with most of it, the project was a good idea. If money is spent unwisely or rear, has been a very bad idea. This is money that is added to the national debt. While the debt is used to create assets, debt is not OK as a way to pay operating costs (which is why states such as Vermont, must balance their budget each year, but can borrow capital ). The misuse of the debt has clearly helped the global economy it is today. It is therefore essential to use that money and future taxpayers.
Return to the Great Depression was a very serious suggestion Vermont require that federal funds for the construction of the Green Mountain Parkway. Skyway this relationship, including the picturesque peaks of Killington Mountain in Vermont, the camel hump, and Mt. Mansfield. Obviously, many jobs will be created in this way it was constructed. Tourists who come to Vermont, so they can drive the Skyway and Blue Ridge Parkway, North Carolina. One of the key supporters of the walk was Paddock James Taylor, who was not only the head of the Chamber of Commerce Vermont, but also the man who had the idea of the long road that has already been built, but it was not a big money maker. Burlington Free Press went to the promenade, the Rutland Herald, was against. Finally, the walk is quite defeat in the Legislature. Well, even if it has created many jobs.
In addition, many visitors and Vermont hiking trails or in today were built by the Civilian Conservation Corps (CCC) during the depression. It is the infrastructure that has lasted and still serves us well. There are many other projects of the depression era Works Progress Administration (WPA) and has served for many years, some of which still exist. And there was money to lose.
The great economist John Maynard Keynes said that the government could help them cope with depression by hiring people to dig holes and recruit others to fill them again. It does not seem such a good idea, however. Once the money runs out all you have is debt, and some recently disturbed dirt.
We want to put people to work, but we can do better than Keynes suggested. We need to hire people to build the infrastructure that will be a benefit in the long term and permanent. Not only to reduce the backlog of maintenance of our existing systems, at a time when workers and equipment and asphalt and steel cheap, we also need to strengthen communication and energy intelligent infrastructure for the future. We must do these things for the economic, environmental and strategic reasons. The incentive can be used the money to us where we want to go. It can also be squandered.
The choice is ours. The stimulus bill was a good idea? We’ll see. The results depend on us all.
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