Saturday, August 19, 2023

Economy: The Economics of Public Investment Crowding in Private Investment (August 16th, 2023)

It is helpful to keep up on the public news and announcements to understand the investment environment. Right now the U.S. is trying to attract manufacturing investments and improve on its infrastructure to spur greater national innovation/commerce. After Covid and international crisis (i.e. supply chain), attracting investors appears to be increasingly more likely as they seek safer long term investment locations. 

There will likely be other plans coming out by different parties, politicians and leaders to review and ponder. It is helpful to read this one because it has lots of charts and graphs that I think are helpful in digging into key areas of understanding as to how economic theory functions in a real life government situation. 

This is not advocacy for or against a particular plan. Reviewing plans through the lens of understanding and not a particular political or economic bias can help in making longer term decisions. Current and future executives should be critical thinkers and use multiple knowledge sources.

Keeping up with economic policy is part of understanding the investment and external environment.

The Economics of Public Investment Crowding in Private Investment

Once you read this announcement ask yourself a couple of questions. 

1.) How does inflation impact investment choices and decisions?

2.) What type of environments do international investors seek?

3.) How might the availability of certain skills and other human capital issues be important in attracting and retaining talent?

4.) How does new technology and infrastructure relate?

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