Weve Professor Wei Zongyou Fudan University Professor US Time on November 15th, US President Biden in the White House South Lawn, held a grand signing ceremony, signed an infrastructure bill for $ 550 billion, including $ 550 billion.
Biden said in the signing ceremony of the bill, this is the "Red-collar version of the rebuild American blueprint" will conduct a large-scale investment for infrastructure such as American roads, bridges, railways, and public transportation for decades, creating a large number of jobs, alleviating supply Chain neck.
He wants to tell Americans, "The United States is moving again, your life will become better."
According to the contents of the bill, the federal government will allocate 110 billion US dollars to build roads and bridges, 106 billion US dollars to build railways, 39 billion US dollars to build public transport, $ 65 billion construction high-speed Internet, $ 73 billion update and expand the grid, 55 billion US dollars Update items in drinking water pipes.
In addition, the bill has also left $ 50 billion for strengthening related infrastructure to address climate change and cyber attacks.
According to the Best Branch of the US Dollar, it can be said that since Obama has, since Obama, the "infrastructure dream" of the US president. However, in view of the fact that the US government’s current astronomical digital huge debt, as well as high inflation, the New Infrastructure Act is a blessing to the US economy, it is really a bad saying. First, new infrastructure investment will further exacerbate the federal government debt crisis.
Affected by the new championship, the US federal government has passed the total amount of nearly 6 trillion US dollars (including the 4 trillion US dollars adopted by Trump, and the trillion US dollars adopted by the Biden government). Leading the federal government debt. As of August this year, the US federal debt has exceeded the trillion US dollar debt ceiling, the democratic Republic of China was forced to consult urgently, and the federal debt crisis was delayed, and the debt upper limit was temporarily increased by $ 480 billion. According to estimates of the US Congress Budget, the New allocation of more than $ 550 billion in the infrastructure bill may increase the federal debt in the next 10 years. Secondly, the government will turn on the water and will further intensify the risk of US inflation.
Since the US government puts water mainly by opening the gate, the sprouts should respond to the influence of the ethics of the economy and the people, leading to the rise of the price of the United States since this year, the inflation has reached a high innovation. The data released by the US Department of Labor on November 10 shows that the US Consumer Price Index (CPI) rose in October, which has increased in 1990. Housing, furniture, daily necessities, rent, medical and other living expenses have risen, especially gasoline prices soared nearly 50%.
The price and inflation rate significantly exceed people’s income level.
Data show that after removal of inflation, the American people have fallen by the actual weekly salary in October, and there is a decline in 7 consecutive months.
Infrastructure investment may trigger a new round of inflation.
Finally, trillion US dollar investment investment on the US infrastructure gap, just a drop in the bucket, limited to economic stimuli. On the one hand, the US government’s several rounds of stimulation and relief measures have greatly pushed the US inflation, increasing the federal government debt risks; but on the other hand, even trillions of infrastructure investment, for the United States domestic infrastructure investment gap For example, it is still a drop in the bucket.
According to the Assessment of the American Civil Engineer Association (ASCE), US infrastructure investment demand is 13 trillion, of which the investment gap is about trillion US dollars.
Even with the Biden government’s trillion investment (where the new investment is only $ 550 billion), the US investment gap is still as high as 5 trillion US dollars.
Under the economic affected, federal debt and inflation, trillion of infrastructure investment is very limited in improving US economic growth. In addition to the trillion US dollar, members of Biden and Democratic Congress are still sharpening Huo Hu, intended to pass the "rebuild a better future" bill through the total amount of trillion. The House of Representatives prescribed the fastest to vote on November 18 on November 18 local time.
At the moment that inflation is high, the Biden government still plans to promote significant increase in social welfare spending and respond to climate change, and also indicate from a side, in order to "ideal belief" and next year’s mid-term elections. They also fight.
However, this will only further approach the US federal debt, and may even induce a new round of economic crisis. (Editor: Le Water).