Microsoft Word - Final Project Macro CCRI Fall 2020.docx “Fiscal Policy post Covid-19 and Government Infrastructure” , The government will be facing major macroeconomic challenges post COVID which...

“Fiscal Policy post Covid-19 and Government Infrastructure”
Contents
Abstract    3
Different fiscal policy options on infrastructure spending with the most social benefits    4
Provide direct household aid    4
Provide direct grants    4
Start a combination of four Challenges    5
Start a multi-year initiative to build a variety of professionals    6
Investment on infrastructure and benefits to the society    6
Economically efficient ways of financing projects and its impact on public debt.    7
Abstract
The COVID-19 pandemic has shaken the country to its hearts, and the resulting economic recession shows no signs of abating. As in previous recessions, infrastructure is not immune to these effects concerns about household affordability are expanding, stretched state and local finances are slowing programs, and labor impacts in construction and other sectors are just getting started. In this paper we analyzed why the case for a people first approach to government capital stimulus by using historical statistics and the early metrics from the latest slowdown.
Different fiscal policy options on infrastructure spending with the most social benefits
Passing infrastructure stimulus bills would necessitate more than conventional demands for higher spending or pushing legislation tailored for a new economic moment. Federal policymakers would continue to promote development policies that clearly address today's
oken economy and where the nation needs to go after the worst is over. The following indicates various fiscal policy choices for infrastructure spending to have the greatest social benefit.1. Provide direct household aid, 2. Provide direct grants 3. Start a combination of four Challenge Fellowships and four research and development programs.4. Start a multi-year initiative to build a variety of professionals
Provide direct household aid
    In order to start considering the infrastructure as a fundamental human right, we propose that households obtain a fluid, monthly budget covering travel, internet and basic services. Both benefits will be linked to household tax details and provided by the same transmission card and operating framework for the Supplemental Nutrition Assistance Program (SNAP). The initial implementation of this initiative could concentrate on low-income homes and those with recent loss of income, by leveraging initial monitoring results to guide a sustainable, longer-term program that may provide funding from other governments and from colleagues from the private sector.
Provide direct grants
As Congress believes that state and local agencies provide more direct assistance, a part of this money should be earmarked for road repair programs. An infrastructure-based financial injection of states, including rail, water, power and telecommunications infrastructure, will include any repair programs that would boost the fixed asset of the public. Instead of major extensions or replacement schemes, maintenance will be concentrated on restoring existing capital infrastructure. Congress must create a formula to scale grants, which would have to be more formally specified and calculated, depending on state and local budgetary needs. The Treasury will provide additional financial support and expenditure enforcement to the public finances of government and local authorities.
Start a combination of four Challenges
To address long-run threats to U.S. competiveness, we recommend Congress design programs around four core infrastructure outputs: modernizing water infrastructure, accelerating clean energy adoption, expanding
oadband networks and digital skills development, and eliminating environmental injustices in transportation and land use. Within each of the four output categories above, we recommend Congress launch two program types they...