The Case for a New WPA(theatlantic.com) |
The Case for a New WPA(theatlantic.com) |
I'm reminded about how much we've wasted bombing and rebuilding the infrastructure in foreign lands. Think of what we could have built if we invested the deficit here.
> Subsidized employment programs “really help get money into the pockets of some of the hardest-hit families,”
It gets tricky here because even most liberal or conservative ideologies agree that working is good, and government-created demand for work is fine. It gets hairy when we start to spitball exactly how that demand should come.
What may work for both sides? Find out how to create the most demand with the least amount of long-term dependance. Let's start talking about avoiding the second part while encouraging the first.
Also, working is good now but what happens when jobs become increasingly automated? I don't think it's too far fetched to predict that automation could take the place of most of the jobs on this chart: http://www.bls.gov/spotlight/2014/occupations/images/chart_0... in the next 50-150 years. What happens to our opinion of work when many people can't work?
Well yes, but how is that relevant to what he said: "even most liberal or conservative ideologies agree that working is good"?
The point was that work and willingness to work are almost universally seen as good in American politics.
Plus this could get us over the downside of shrinking the surveillance state, prison industrial complex, Homeland "Security," etc. If there is a fallback program that always has jobs on offer, the need to create jobs more expensively declines.
Given the decline of manufacturing jobs and the transition from blue-collar to service oriented work, wouldn't a modern WPA be more permanent? If a MWPA job is the equivalent of most low-wage service-sector jobs, what's the incentive to transition to the private sector? We would be creating a environment for MWPA "lifers" - a significant percentage of the electorate that depends on a MWPA for a living.
That's not necessarily bad. But a UBI (Universal Basic Income) would make more sense. It would be better to have a program (UBI) that doesn't have the additional overhead of vetting, training, and administrating a national-scale job training and employment program. A UBI provides more bang for each government buck.
The first step to a UBI is universal healthcare, or at least substantially cheaper healthcare. How close are we to that politically?
It sure would be nice if that could be spent differently! But unfortunately, we keep spending money we don't have!
> This is completely ignorant. The federal government is an issuer of currency and therefore has infinite amounts of money . We are no longer on the gold standard where money was limited by gold reserves.
That's a tautology. We are only an issuer of currency insofar as we have credit. Our credit rating is heavily dependent on our ability to make interest payments, which are $222BN annually.
Now maybe what you're saying is that since we can issue more currency, we will never be unable to make these payments because US debt is denominated in US dollars. And sure, that's technically true, but absolutely no one in America comes out ahead after that. Americans are the people most invested in the future of the dollar-- particularly lower and middle class Americans who have savings accounts and retirement funds that are mostly denominated in US dollars, whereas rich people hold capital assets.
So that doesn't address my point, which is that right now we have an expenditure of $222BN annually and we're obligated to make those payments or face some consequences that are much greater.
And all I'm saying is that it would have been really great if we didn't have to spend those $222BN every year. And what would be less great, but still great, is if we could start moving that number down.
http://www.infrastructurereportcard.org
https://hbr.org/2015/05/what-it-will-take-to-fix-americas-cr...
http://www.vice.com/read/america-is-collapsing-a-brief-look-...
http://www.cbsnews.com/news/falling-apart-america-neglected-...
http://www.cnn.com/2015/05/19/opinions/blumenauer-renacci-in...
http://www.nssga.org/case-missed-60-minutes-falling-apart-am...
http://www.slate.com/articles/technology/american_prosperity...
https://www.yahoo.com/news/america-s-crumbling-infrastructur...
http://www.independent.co.uk/voices/the-us-economy-is-under-...
That would likely cause our GDP to explode.
(which is relatively specialized work that is happening anyway; it isn't all that specialized, but digging with a machine is incredibly more effective)
Anyway. You need to educate yourself. Read up on Modern Monetary Theory. You continue to make analogies between household budget constraints and money issuer budget constraints. Money issuers have no budget constraints. The only constraint is inflation and policy makers the world over have been try to create inflation for 25 years. ( see japan, europe, usa post 2008).
Government debt == private sector savings. Eliminating government debt would lead to another great depression. It makes no sense for a country like ours which is a net importer. Again, you're empowering the politicians with this FUD.