Roll Call: Latest News on Capitol Hill, Congress, Politics and Elections
September 1, 2014

What Should Infrastructure Investment Look Like?

Laura D’Andrea Tyson and Susan Lund look at how the US can make up for “underinvesting in infrastructure for the last two decades.”

“An increase in infrastructure investment by one percentage point of G.D.P., or $150 billion to $180 billion a year, on a sustained basis over the next 15 to 20 years, would compensate for past underinvestment. The additional investment would also be a powerful medium-term stimulus to aggregate demand, adding up to $320 billion or 1.7 percent to annual G.D.P. and creating up to 1.8 million jobs by 2020.”

“Although additional infrastructure investment would be financed mainly by the government, we estimate that 25 percent to 40 percent could be paid for by the private sector, in part through public-private partnerships.”

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