Читать книгу The Post Pandemic Economy - William E. Scholz - Страница 6

The coronavirus pandemic has decimated local ownership including the private wealth of families and the wealth of privately held small businesses. A declining residential, commercial, and real estate markets put a strain on the taxable infrastructure of many local municipalities. More importantly, the pandemic eviscerates the primary savings vehicle of households, an unfair, distressing, and sad reality for many Americans.

The combination between declining real estate value and subsequently shrinking municipal tax base, creates a "snowball effect" in yet another aspect of the American economy. Municipalities and local philanthropy were once the "go-to" resource for local economic development, but the reality on-the-ground is that local economic development initiatives were woefully under-prepared and under-equipped to deal with renovation efforts post pandemic.

The Great American Renovation requires centering the family as both economic engine and backbone to prosperity. Centering efforts will require incentives that support a massive renovation of existing infrastructure prioritized before new construction. This is counter intuitive as new construction contributes more directly and expeditiously to growth in Gross Domestic Product (GDP), the spoils of which, are captured by developers.

The American family and small business must come first, through efforts that go beyond tax credits, to reestablish neighborhood value including in distressed communities where homes are in most need of renovation. Small businesses must receive support beyond incentives to reestablish a consumer base for locally made goods and services. The American economy must unlock a greater flexibility in commerce and trade, on a geographic basis, that brings the American consumer to different cities and regions to utilize critical infrastructure in addition to the services economy.