Significant reinvestment in U.S. public infrastructure systems would create 1.1 million new jobs over the next decade and would add $1,400 in disposable income for the average U.S. household every year for 20 years, according to recent economic analysis.
For every $1 invested in infrastructure, $3.70 in additional economic growth is generated.
Researchers analyzed two scenarios and concluded that over the next 20 years $5.9 trillion would be added to gross domestic product, annual labor productivity would increase 0.56 percent, average wages would grow $1.34 per hour, and businesses would invest an additional $1.9 trillion.
The analysis was prepared by the Interindustry Forecasting Project at the University of Maryland for Business Roundtable, an association of CEOs working to promote the U.S. economy.
“From crumbling roads to outdated water systems, America’s aging infrastructure has been an impediment to maximizing economic growth,” Mike Burke, chairman of the Business Roundtable Infrastructure Committee, said. “Making big investments to modernize our highways, bridges, airports, and waterways will produce greater returns for all Americans. Workers will see more job opportunities and larger wages. Families will see higher household incomes. And businesses can shift into a higher gear as renewed infrastructure provides our economy with a stronger foundation.”