About that Bridge to the 21st Century . . .

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About that Bridgeto the 21st Century . . .
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The Wealth of the Nation
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The Rationale forPublic Investment

• Inadequate market provision
• A premium on public ownership

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The Benefits ofPublic Investment

• Household benefits
• Productivity
• Business profits
• Business investment
• Regional development

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The Decline ofU.S. Public Investment

• Public capital stocks grew through the 70s
• The public investment share of GDP
• declined after 1980

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Public Investment Priorities

• Early Childhood Development, Education
• Sustainable Energy
• Global Warming
• National Security
• Environmental Quality
• Health Care
• Saving New Orleans the Gulf Coast
• Etc.

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Can we afford more public investment?

• Currently Federal non-defense investment outlays
  are 246 billion in a 2,784 billion Federal
  Budget
• The role of private investment in economic growth
  is grossly overblown
• Investment is saving