116 3rd St SE
Cedar Rapids, Iowa 52401
Infrastructure projects pay for themselves
David Huddle
Aug. 15, 2021 5:15 am
Something that most people don't understand about government infrastructure is that these types of government spending actually pay for themselves over time. When the government spends money on infrastructure the money spent eventually comes back to the government, over time, by way of taxes as the money trickles it's way through the economy.
People who work on the projects pay taxes on their salaries; they spend money at various enterprises whose employees also pay taxes. Businesses who build the projects, or benefit from employees who spent money earned at the project, pay taxes. Eventually all the money comes back to the government and in the end you have what is essentially a free improvement on the infrastructure. This is basic economics.
Additionally the improved infrastructure also allows for more economic development. Spending money on infrastructure is a no-lose, win-win proposition. There should be no opposition to this type of government spending. When politicians are against this type of spending it is solely because they don't want the other party to get credit for something that greatly benefits everyone.
David Huddle
Cedar Rapids
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