“Saudi Arabia’s $20 billion wager with Blackstone is record-sized bet on U.S. infrastructure” – WSJ
Robert Reich’s post on this article on FB: (Read the full article here)
” Saudi Arabia just joined the parade of investors into U.S. public works by pledging a record $20 billion investment with Blackstone Group’s new infrastructure fund.
It’s the latest push around the world by large investors to buy up U.S. airports, roads, bridges, water systems, and other public projects.
Rather than taxing the wealthy and then using the money to fix our dangerously outdated infrastructure, the states and the federal government increasingly are giving rich investors tax credits to encourage them to do it.
The investors then charge tolls and user fees, and earn big profits.
So the public pays twice – once when we subsidize the investors with our tax dollars, and then again when we pay the tolls and user fees that also go into their pockets.
We don’t even get the infrastructure that’s most needed. Projects most attractive to investors are those whose tolls and fees bring in the biggest bucks – giant mega-projects like major new throughways and new bridges.
Not the thousands of smaller bridges, airports, pipes, and water treatment facilities most in need of repair. Not the needs of rural communities and smaller cities and towns too small to generate the tolls and other user fees equity investors want. Not clean energy.
To really make America great again we need more and better infrastructure that’s for the public – not for big developers and investors. And the only way we get that is if corporations and the wealthy pay their fair share of taxes.”