Editor’s note: This column was written by Samuel Mangold-Lenett.
Earlier this month, with much fanfare on the left and right, Biden signed the Bipartisan Infrastructure Agreement (BIF), I’m calling “a once-in-a-generation investment in our country’s infrastructure and competitiveness.”
It’s a shame this won’t bring any significant relief to the American people.
The BIF was sold to the public under false pretenses, and if anything, it will only exacerbate the current economic crisis, deepening inflation and limiting private sector development. In addition, he implements policies that negatively impact non-wealthy people and provides the wealthy East and West Coasts – which are usually Democratic unthreatening havens – with disproportionate tax breaks.
Members of Congress worked to popularize the BIF, assuring the American public that it would be fully funded so as not to enhance the federal deficit, that it would not raise taxes, and that it would create many jobs for blue-collar workers.
These selling points are largely untrue.
ABOUT half infrastructure package is financed by repurposing aid funds related to the COVID-19 pandemic. The remainder of the contract will be financed by deficit spending of almost 400 billion dollars. Deficit spending gives birth inflation, and inflation undermines the real value and purchasing power of each US dollar. It’s disproportionate affects Working and middle class Americans who are already struggling recent price increases caused by galloping inflation.
Through allocation, BIF also pushes private sector Internet providers out of the market 100 billion dollars promoting the government and government-affiliated non-governmental organizations as broadband providers. This will inevitably give the government more control on the Internet and how you can access it. Moreover, it will likely result in a decline in service quality, which almost always happens when the government takes on the responsibility of providing a good or service. Just look at how the government got involved health care and student loans weakened both industries. There is no reason to believe that the impact of government control of Internet access will be anything less than catastrophic.
A reasonable, bipartisan argument can be made that America’s infrastructure needs modernization. After all, repairing our crumbling bridges and interstate highway system was one of them the biggest advantages of the former president Trumpand many Republican Party strongholds stand to benefit from resuscitating our infrastructure. However, this spending package will not adequately address these concerns because it disproportionately prioritizes the left’s ideological goals while implementing policies that harm businesses and the middle class. Assigns $20 billion to initiatives supporting racial equity and environmental justice in infrastructure; spends $213 billion on efforts to retrofit affordable housing with technology focused on green energy; and this makes “the largest investment in passenger rail since Amtrak” that they are unlikely to benefit from American public write in capitals. This legislation could provide piecemeal aid to areas in need of restoration, but is more likely to provide the majority of Americans.
President Biden assurances The claim that the Bipartisan Infrastructure Agreement will create “millions of good-paying jobs” and be a “worker’s plan” that benefits the working class is simply untrue. To be fair, BIF will be inherent cause secure employment through investment in public works, but recent expert analysis from the Wharton School of Business at the University of Pennsylvania reveals that the fresh regulations will have net zero impact on employment, wages and economic growth in both the miniature and long term. The reality is this public works programs do not deliver the economic benefits that politicians often expect from them.
The bipartisan infrastructure package also discourages private sector activity. There are novelties hidden in this legislation tax requirements on cryptocurrency wallets – such as Bitcoin. The legislation states that cryptocurrency “brokers” – platforms such as Coinbase and the Winklevoss twins’ Gemini Exchange – must issue Forms 1099-B for the IRS detailing assets held by clients for better tax reporting. BIF also requires private companies to submit reports whenever they process data $10,000 in cryptocurrencies to IRS or Face offense fees.
Finally, while this legislation will not provide significant relief to the working and middle classes, it will tax breaks Down opulent coastal elites in Democratic voting strongholds by re-introducing state and local tax credits (SALT). SALT Deductions work by allowing taxpayers to subtract taxes paid to state and local governments on the amount of income reported and then taxed by the federal government. These deductions are overwhelmingly beneficial to opulent giving them a break from paying federal taxes, meaning the revenue Democrats promised to fund the infrastructure deal won’t be available. SALT deductions shift the federal tax burden to rural areas and red states while protecting the interests of wealthy, coastal blue states.
In an era of profound economic uncertainty, this legislation is of no benefit. It will not provide significant relief to the working and middle classes and is not fully funded, which will result in spending inflation. The bipartisan infrastructure agreement puts left-wing policy goals ahead of fixing America’s infrastructure.
Samuel Mangold-Lenett is a resident of Cincinnati, Ohio. His articles have been published in the Daily Wire, Daily Caller, The Federalist and other newspapers. He is the editor-in-chief of the Cincinnati Republic. Sam is a collaborator of Young Voices and a graduate of the National Center for Journalism. Follow him on Twitter @Mangold_Lenett.
