Title: It’s Time for States to Invest in Infrastructure | Center on Budget and Policy Priorities
Headings: It’s Time for States to Invest in Infrastructure
POLICY FUTURES
It’s Time for States to Invest in Infrastructure
Investment in Public Infrastructure Is Falling, With Real Consequences
The Nation’s Infrastructure Needs Improvement
State and Local Governments Are the Primary Stewards of the Country’s Infrastructure
How States Pay for Infrastructure Projects
Infrastructure Spending Is Down Across Government
Investment in Public Infrastructure Fuels Economic Growth
Well-Targeted Public Investment in Infrastructure Improves
Private Productivity, Research Shows
Public Infrastructure Investment Can Spur Job Growth
Investment in Public Infrastructure Can Improve a State’s Quality of Life, the Environment, and Opportunity
It’s Time for States to Invest More in Infrastructure
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Content: And more than half of the states have raised their gas taxes, a key source of funds for road construction, since 2013. But overall, states are cutting infrastructure spending as a share of the economy, the opposite of what is needed. Spending by state and local governments on all types of capital dropped from its high of 3 percent of the nation’s gross domestic product (GDP) in the late 1960s to less than 2 percent in 2017. Falling federal spending on infrastructure is exacerbating the problem. States must turn their attention back to the type of infrastructure investments that will boost productivity, support business growth, create jobs, provide a healthier environment, and improve opportunities for all of their residents. The specific investments needed will differ from state to state depending on factors like the condition of the existing infrastructure and the mix of industries in the region, but states continue to ignore needed investments at the country’s peril. Investment in Public Infrastructure Is Falling, With Real Consequences
In the decades after World War II, the United States built an interstate highway system, hundreds of airports, a massive network of waterworks, and expanded port facilities and other infrastructure that significantly boosted the country’s economic output. Much of this infrastructure is in dire need of repair. In addition, better functioning infrastructure, including more efficient public transit systems and more environmentally friendly water and sewer systems, could boost economic growth and quality of life. Despite these needs, governments at all levels are failing to make the improvements that the nation’s roads, bridges, and other infrastructure need.