Commentary: How come we can always find money for tax cuts and the military (especially last 40 years) without worrying about debt or inflation—but when it comes to the people’s economy we become very concerned?
This includes money for good paying jobs, retirement, health care, education, child-care, infrastructure, addressing climate change and ensuring the effectiveness of our democracy.
Military spending is now as much as during WW II in real terms and many corporations and billionaires pay little or no income taxes. What have we gotten for our increased military presence around the world—failed wars in Vietnam and the middle-east and what have we gotten for our tax cuts—self-righteous rich people and severe inequality.
It’s time we changed direction.
The $1.0 trillion bipartisan Infrastructure bill and the $3.5 trillion Democratic bill should be passed. It would be a game changer.
Physical infrastructure—including broadband expansion--has long needed upgrading. Just travel to other developed countries (including China) and you will see why.
The Democratic plan would take care of the long-neglected people’s economy discussed above.
Can we afford these investments? Of course, we can.
This money will be spent over the next ten years and during that time the GDP is expected to be $300 trillion. Time to take care of average people’s needs rather than the rich and powerful.
One question from the critics is will these expenditures cause inflation?
Very unlikely. The temporary increase in prices will not last—once the economy takes care of supply-chain barriers.
We have plenty of unused resources—including human, natural resources, factory capacity and entrepreneurship.
Let’s use them for the benefit of everyone.