August 1, 2013
President Obama delivered another misguided speech on the economy on Tuesday. He argued for more taxes on businesses to pay for new infrastructure “investments.”
This plan would cover a broad range of projects such as widening roads, dredging ports, repairing old bridges, and updating America’s air traffic control system.
Obama gets it right when he says the country needs a strong, reliable infrastructure to facilitate economic activity and growth. The trouble is that there is a big difference between the limited role for government regarding true public infrastructure needs and Obama’s vision of massive federal spending on and onerous control of America’s infrastructure.
Moreover, the President’s plan ignores economic reality. For example, government “stimulus” did not boost the economy the last time around. And when the government taxes businesses in order to spend more money, it is just taking money out of the productive economy.
There’s a better way, Goff argues:
Mr. President, if you truly want to help the economy, how about approving construction of the Keystone XL pipeline? The delay is costing Americans jobs and access to energy. And if you want to help the middle class—and all Americans for that matter—how about shelving the talking points about increasing government spending and instead lead with big and bold ways to cut out-of-control government spending?
It is clear that President Obama’s infrastructure road map would be poorly navigated. With a towering national debt, the road we should be focusing on is the crippled path to economic recovery.
Do you think President Obama’s new taxes-for-infrastructure plan is a good idea?