So here’s some ideas on how to spend the money. First, let the big 3 fail and restructure, and get rid of those unions.
Next, invest in broadband and wireless broadband communications. Treat it like infrastructure where it’s government owned (I know, a sore point) but contracted out to private companies to architect, engineer, build and maintain. Same as we do with our roads and military. Things that are of national interest is owned by the people, and fully contracted out to the private sector, with joint public/private oversight.Â
Next effort is to do the same with a national rail system. There’s no reason why GM and Ford can’t build trains alongside GE. This diversifies GM and Ford, building cars and trains and whatever else. And for the airline industry that will throw a fit over this, there’s no reason why they can’t be contracted to operate rail lines like they operate airlines. This would follow the same model of infrastructure ownership by the govt., and have everything contracted out.
I also think utilities should fall into the same category, especially nuclear.Â I don’t think this is a communist or socialist idea. I think its more of a jumpstart for capitalism. Companies don’t have to struggle to raise massive amounts of capital for assets. Investors can buy safer govt backed bonds to fun these projects, and still take equity investments Â in the companies they feel would do a good job.
The net couple of years will be rough,thats for sure. But nothingÂ jump startsÂ an economy like infrastructure projects. Roads, rail, communications and energy.
Now on to education, and lets start with college. My thought is this, for every year that you do national service, being military or peace corps or whatever that qualifies, you get a year of collect at any public institution, room and board, books, tuition and even some pocket money, up to six years. Higher education is a key for this country if we’re to maintain our competitive edge. The idea that we can continue to build our country on lower skilled jobs is long gone.Â
For our community college system, a person should be able to retrain into a new career if they get laid off, or sector is collapsing. How often, I don’t know, but I think that should be funded also.
Onto elementary through high school. Adopt the model like they have in the Netherlands.Â AttachÂ the dollars to the child vs. the school. This allow the parent to choose where their child goes. If the parents/guardian wants their child to go to public, or private,Â religious, secular, magnet, of whatever type of approved school, their choice. This will instantly create competitionÂ withinÂ schools, and nothingÂ spursÂ trueÂ innovationÂ like competition.
Make english the national language, officially. If you come here and want to live here, you need to learn the language. I would suggest that libraries and community colleges in every county provide english classes at govt. cost. This would be offset by the elimination of duplicated paperwork in many agencies in multiple languages.
Home mortgage and banking crisis. If any bank gets any money for bailout, they have to immediately convert every adjustable rate mortgage to a fixed 30 year at 6%, done, end of story. And foreclosures are frozen for the next 120 days. Now after that, if a person cannot afford what they live in on their new fixed rate, thenÂ unfortunatelyÂ market rules apply….foreclose.
And for the most painful, all these CDO’s and credit default swaps, essentially these unregulated insurance policies? Every last one of them…null and void. You’re an investor and had the money to burn, oh well. But we need to move forward.
Look for my enlightening thoughts on taxes and healthcare in a later email.