Improved Infrastructure

The bipartisan $1 trillion infrastructure bill that recently passed in the Senate will boost GDP just marginally because it includes only $550 billion in new spending to be disbursed over five to eight years, much of which will be paid for with higher taxes. Through 2029 this spending should boost GDP by, at most, 0.30%/year. The newly built infrastructure should permanently boost GDP by 0.05%/year. Not huge but still consequential.