The Biden Administration has proposed what it calls a $2.3 trillion “infrastructure” legislation which it calls the “American Jobs Plan.” Far from addressing the huge deficit in America’s highway, bridges, railway, electric grid, water supply and such economically vital infrastructure that would address critical problems in the functioning of the economy, the Biden planners have cynically taken a politically popular word, “infrastructure,” and packed hundreds of billions of dollars into economically wasteful, destructive initiatives having more to do with the Green Agenda than rebuilding a healthy economy. If passed, it will have negative consequences for the world’s once-leading economy with serious geopolitical implications.
In March Biden signed another huge extra-budget bill, the $1.9 trillion “American Rescue Plan.” That one was allegedly to aim at dealing with the impact of COVID. The bill dealt in fact with almost everything but COVID. The act is a grab bag of partisan pet projects. Among other things the act provided $12 billion for foreign aid; $15 billion for health care for illegal immigrants; $112 billion for welfare benefits and a generous $350 billion for Democrat-run states. Less than 10% was directed at COVID relief measures. In politics how you frame or package a bill is more important than the true content. Critics claim these huge spending bills are aimed at buying a future Democratic voter base with government handouts.
‘Everything is Infrastructure’
No surprise then that now the Biden team has rushed another multi-trillion bill to Congress. The $2.3 trillion American Jobs Plan is a bill where way less than half of the measures have to do with conventional infrastructure investment in roads, rails, electric grids, water supplies, ports or airports—all the areas essential to the efficient functioning of the economy. A total of $750 billion or only 32% of the total actually goes for infrastructure such as highway or bridge repairs. Yet even that total includes only $115 billion of real infrastructure for highways, bridges, and surface streets. But the $750 transportation infrastructure section proposes $174 billion for more government subsidies for Green Agenda electric vehicles in what might be called a “make Elon Musk richer” subsidy. The White House fact sheet says that this will help make the US more competitive with China’s electric cars. But the best selling E-car in China today is Musk’s Tesla.