Rebecca Wilder has joined the voices criticizing the so-called stimulus plan:
"But there is one thing that always bothered me about this plan: if the rise of domestic construction production was to blame for the loss of productivity in the first half of 2000, why are the longer-term spending initiatives centered on construction projects? The focus should be on expanding our most productive sectors – manufacturing and exports - to stimulate innovation and productivity."
She goes on:
And if long-term growth is the name of the game, why focus on inefficient domestic construction efforts?
So why are we building roads? The focus on construction and infrastructure as the primary long-term stimulus is highly inefficient.
Her post also refers us to an interview with Joseph Stiglitz from the International Herald Tribune:
Stiglitz, who was chairman of the Council of Economic Advisers from 1995 to 1997, noted in an interview that there has been a slow divergence between traditional economics and what may be called innovation economics.
"I've been a bit astonished that all the discussion around the private-sector stimulus has centered on infrastructure," he said. "Bailouts, too, are aimed at correcting mistakes of the past, so they are backward-looking. We would be much better off spending our money forward-looking. If we spend $700 billion on new technology and innovation, we'd have a stronger, new, real economy. Up to now, the discussion has focused on the sectors that have been mismanaged rather than the sectors that are creating our future."
Here's the truth the Obamacans don't want to face. Forget William Ayers.
Sen. Obama's political career was launched by the now-convicted criminal and constructor of disgustingly substandard housing for the poor, Antoin "Tony" Rezko. As soon as he got to the Senate, he became probably the largest recipient of Fannie/Freddie lobbying money. Under his leadership, Bill Clinton's bridge to the 21st Century should be taken literally: we are now building bridges, tearing up roads, building roads to nowhere, all to strengthen Sen. Obama's patrons in the building industry. What this program means is neglect of growth areas and international competitiveness. We can't do it all. If we must borrow (which I disagree with), at least let it be for cutting-edge 21st and even 22nd Century stuff, not stuff that Julius Caesar would have grokked.