Sunday, July 7, 2013
Germany Is Doing What The US Should Be Doing
Germany is investing in infrastructure. The payback on most of these investments will exceed their cost which includes very low interest payments. There are many opportunities for infrastructure investment in the US but we can't get it done. They are being postponed because we are told that they are unaffordable at our current debt level. That argument makes no sense. Needed investments will have to made in the future perhaps at higher cost. Germans either trust their government to make the right investments or some of our politicians don't like infrastructure investments when they might benefit the wrong political party. Some of the investments being made in Germany have not worked out according to plan. That happens with private investments as well. However, the ideology is different in the US. In the US many assume that government is incapable of making the right investments and it is assumed that private industry seldom makes bad investments. It was not always that way in the US. Our interstate highway system was supported by both political parties and our country would be very different without it. Government investment also made the information highway, known as the Internet, possible. The world would be totally different without it.