Can Trump's Massive Infrastructure Investment Materialize?
Hope is High in Construction Industry
At his recent address to a joint session of Congress, President Trump reiterated that he "will be asking the Congress to approve legislation that produces a $1 trillion investment in the infrastructure of the United States -- financed through both public and private capital -- creating millions of new jobs."
The construction industry has voiced great support for this plan. For instance the Associated General Contractors of America urged Congress early on to support these proposals to significantly enhance the nation's deteriorating infrastructure.
"It is high time to make major commitments to restoring and improving the infrastructure needed to enhance commerce, safety and the quality of life," said Stephen E. Sandherr, chief executive officer of the AGC. "Construction firms have the capacity to meet any future growth in public-sector infrastructure investments."
And the stock market has seemed to react most positively to its possibility, indicated by the gain of, as Trump said in his address, "almost $3 trillion in value since the election on November 8th, a record."
However there may be roadblocks to the realization of that immense of an investment. For starters, many Republican lawmakers including Sens. Paul Ryan and Mitch McConnell have not provided firm support. And it was reported that administration officials and leaders of Congress did not present governors a great deal of optimistic news regarding federal investment in the near term, instead advocating for tax credits and a relaxing of regulations to spur public-private partnerships.
Still, Trump continues to pronounce support for large amounts of public works money coming from the federal government, assuring a group of governors visiting Washington for a meeting of the National Governors Association that his administration is "going to start spending on infrastructure big."