What is the kernel of the issue?

A COVID-relief and infrastructure funding plan are insufficient to power an economic renaissance. A National Investment Fund would do so.

Why is the issue important?

The post-pandemic economy must be rebuilt and restructured for the 21st century. Following the 1918-1920 Spanish Flu Pandemic, the U.S. entered the greatest economic boom in its history that took off in early 1923.  This can be repeated.

What is the recommendation?

The Biden administration should establish a “1923 Investment Fund” (named for the post-Spanish Flu boom) based on a public-private partnership of $2-3 trillion. The bulk of funds would come from private sources through 30-year bond issues at 2-3% above prime interest rates guaranteed by the US Government and seeded with about $1 trillion of federal money. The fund would be  focused on both harnessing advanced technologies in health  care, AI, the genome, climate and renewable energy, and cyber, and infrastructure modernization powered by universal 5G and broadband access and modernizing and repairing roads, bridges, air and seaports, the power grid, education. The fund would be off budget and repaid by user fees, tolls, and returns on investment, much as TARP (Troubled Asset Relief Program) brought an additional $80 billion to the US Treasury.