A rising attitude of austerity has been sweeping the nation for some time now, with the loudest voices putting near term deficit concerns in front of commitment to long term economic growth. But a temporary spike in government spending might be the most effective way to boost demand for goods, services, and labor in the face of lingering U.S. economic malaise – and at a relatively low cost.
Against Austerity: There's No Time Like the Present for Massive U.S. Investment in Energy Efficiency
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Today’s partisan gridlock and the paralysis of election year politics may have all but killed hopes for new stimulus spending, but energy-efficiency investment is unique. If carried out properly, upfront costs incurred by the U.S. government can be directly paid for by energy savings down the road, with savings beyond the initial costs going directly to the American public. If this case can be made to the austerity hawks in Congress, government spending in the form of energy-efficiency pursuits might just have a fighting chance.
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But a temporary spike in government spending might be the most effective way to boost demand for goods, services, and labor in the face of lingering U.S. economic malaise – and at a relatively low cost.
Of course it is. And it should include transportation, education, energy, communication, water, and waste infrastructures. It should not include tax cuts or direct aid to states increases. The aid to the states will come in the form of increased tax revenues from the economic activity of the infrastructures projects as they multiply through the economy. Energy efficiency is a significant portion of the energy infrastructure investment. But this also needs to include distributed generation of electricity and fuels. The fuels portion overlaps with waste management since much of our waste can be processed in a number of ways to produce methane and other gas and liquid fuels with existing technologies (composting with methanogenic bacteria and pyrolysis using concentrated solar ovens). This would also overlap with local jobs by creating a market for native vegetation to feed these processes. This would created tens to hundreds of thousands of permanent local jobs all across the country in the harvesting, transporting, and processing of this biomass material and the fuels that result.
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