Big government spending just got bigger. $17 billion is currently available for direct loans, loan guarantees, et cetera for state and city infrastructure projects submitted to TIFIA (Transportation Infrastructure Finance and Innovation Act). This can all eventually balloon up to $50 billion.
What does U.S. Transportation Secretary Ray LaHood think?
Americans have always done big things – not in spite of hard times, but as a means of overcoming them. That’s why the Obama Administration is launching the largest infrastructure loan program in our history – these investments will help cities and states create jobs right away building the big transportation projects we need to make sure our economy continues to grow and prosper.Yeah. Government takes our money then spends it. That doesn't spur the economy. The people need to spend and they can't spend if the government keeps taking our money.
Why do the people need to spend instead of the government? Because the people get something in return. It enriches their lives. Roads are important, but it doesn't enrich our lives. If anything it will delay the flow of money in the economy.
$50 billion to roads puts $50 billion in the hands of construction companies and the government. $50 billion of the peoples money goes to everything! Restaurants, stores, barbers, movies, toys, et cetera. By the government focusing so much money in one area it takes longer for it to disburse.
These infrastructure projects still require state and local governments to submit their projects to TIFIA for the money. Then you have to wait for approval. Then there is planning. Then you can do the project. This is just more of the "shovel ready" malarkey we were sold a couple years ago.
Nice. $50 billion more removed from the economy. Way to go big government!