The false narrative about what to do.
Economists like Gunner Knapp and Scott Goldsmith along with attorney Brad Keithley speak about only two ways to help with Alaska’s economic future.
Fiscalism, raise taxes or cut government spending.
Hogwash, infrastructure expansion is the answer.
In 2015, Gunner Knapp spoke about Alaska’s broader options. “Economic diversification. New industries.”
Also in 2015, Goldsmith spoke about the need to have money wells pumping money for infinity. Good luck with that for infinity. No currency lasts forever and neither do money wells.
All successful governments are those that build infrastructure to improve the productivity of the people and business.
That begins and starts with capital budget.
At a national level, economics is spoken about in macroeconomic terms. That is about monetary policy as it relates to credit expansion and the velocity of the newly created money.
But the experts who surround our elected leaders in state government ignore that option. Keeping the discussion surrounding economics outside macroeconomics.
Our elected politicians have followed this economic box Wall Street investment banks have placed us in. So the one area that could expand our economy is cut first. Capital budget is first to be chopped off from our state budget. We do not have the money. Neither do investment banks. Where do they get their money? They can create it out of thin air. Why can’t we collectively do the same for Alaska’s economic future.
Ray Southwell
Nikiski
