There Will Be An Opportunity In This Crisis

As Congress mulls stimulus, Trump should avoid Obama's 2009 mistake

Reed Hundt, March 17, 2020 (Utility Dive)

“…Like the 2008 financial crisis, Washington appears poised to respond with a stimulus package, largely of necessary short-term cash to citizens who have felt the brunt of the Coronavirus…[But if President Donald Trump stops there, he would miss] the opportunity to create long-term infrastructure investment…[and] complete the transition to a clean economy…The 2009 stimulus fell short because the government largely just addressed the financial sector by bailing out the banks. To just address health care in this crisis would make the same mistake…We need short-term measures…

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[But] Congress must provide long-term infrastructure investment. Included in that should be a robust down payment for the National Climate Bank…[to finance projects alongside the private sector and reinvests] loan repayments in future projects…If Congress provided funds for a national green bank, they could be issued at a near-zero rate. Because that is a rate well below inflation, repayment is nearly guaranteed…Because we were timid in 2009 on long-term infrastructure investment, China took the lead as the driver of global investment…

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It will take a lot to regain that position, but a good start would be to put money into infrastructure and a robust deposit into a national green infrastructure bank…[O]ur economy remains too exposed to the volatile price of carbon. The cost for building renewable power to replace carbon power would be the lowest it has ever been in our lifetime…If we don't take this opportunity, the American people and future generations will look back wondering why…” click here for more

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