Public Investment

How to Enter the Global Green Economy

When New York City wanted to make the biggest purchase of subway cars in U.S. history in the late 1990s, more than 3 billion dollars worth, the only companies that were able to bid on the contract were foreign. The same problem applies to high-speed rail today: only European or Japanese companies could build any of the proposed rail networks in the United States. The U.S. has also ceded the high ground to Europe and Japan in a broad range of other sustainable technologies. For instance, 11 companies produce 96% of medium to large wind turbines; only one, GE, is based in the United States, with a 16% share of the global market. The differences in market penetration come down to two factors: European and Japanese companies have become more competent producers for these markets, and their governments have helped them to develop both this competence and the markets themselves.

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How to Create More Jobs

How to Create More Jobs

Investing public dollars in health care, education, mass transit, and construction for home weatherization and infrastructure all create more jobs than investing an equivalent amount in either the military or personal consumption. According to our just-released study, each billion dollars of government spending allocated to tax cuts for personal consumption generates approximately 10,800 jobs. Investing the same amount in the military creates 8,500 jobs. Investing it in health care yields 12,900 jobs; in education, 17,700 jobs; in mass transit, 19,800 jobs; and in construction for home weatherization and infrastructure, 12,800 jobs.

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