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A Comparison of two Public Works Programs Toni N..

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1 A Comparison of two Public Works Programs Toni N.

2 Research Question & Analysis I look at whether the American Jobs Act needs or needed to resemble a public works program in order to be truly beneficial to Americans I look at the model and objectives of this Act compared to a successful public works program. The Public Works Administration (PWA). I look at whether the American Jobs Act needs or needed to resemble a public works program in order to be truly beneficial to Americans I look at the model and objectives of this Act compared to a successful public works program. The Public Works Administration (PWA).

3 1933 In 1933 there was the Great Depression Franklin D. R. became the 32 nd President He started a program to liberate the economy from the economic crisis caused by the depression He called it the New Deal Initiative In 1933 there was the Great Depression Franklin D. R. became the 32 nd President He started a program to liberate the economy from the economic crisis caused by the depression He called it the New Deal Initiative

4 PWA PWA stands for Public Work Administration This program model is said to have been beneficial to the economy from 1933 to 1939 It has a large scope, it is based on the East Coast It has a particular design in which spending is controlled, spending is done nationally to increase purchasing power, and it prolonged American jobs. PWA stands for Public Work Administration This program model is said to have been beneficial to the economy from 1933 to 1939 It has a large scope, it is based on the East Coast It has a particular design in which spending is controlled, spending is done nationally to increase purchasing power, and it prolonged American jobs.

5 Total Funds Appropriated 1933 InvestorsAmounts The Act(Fed. Gov.)$329,660,000.00 Congress$3,300,000,000.00 Congress(sale of bonds):$1,655,000,000.00 Total Funds $5,284,660,000.00 Cited: America Builds

6 The Scope (29 States – 3071 counties)

7 PWA Goals Public Works Administration (PWA) Provide jobs to stimulate business Increase the national purchasing power Help fulfill the needs of the people for permanent public services Help fulfill the needs of the people for useful public services (infrastructure)

8 The Regenerative Effect “A worker gets a PWA job. He receives his first pay envelope. He buys clothes, spending a part of his day at the department store. The clothing store dealer takes a part of the money and pays the jobber (wholesaler). The jobber (wholesaler) takes part of the money and pays his manufacturer. The manufacturer pays his workers and buys more cloth from the mill. The mill owner takes part of the money and buys more wool and cotton and so on.” (America Builds)

9 The Benefits of the Model It Provided Jobs Increased Spending Increased the National Purchasing Power Created an Increase in Net Demands Did not Interfere with other Businesses Growth Was used to Supply Goods and Provide Money to Produce More Goods It Provided Jobs Increased Spending Increased the National Purchasing Power Created an Increase in Net Demands Did not Interfere with other Businesses Growth Was used to Supply Goods and Provide Money to Produce More Goods

10 The American Jobs Act 2011 - 12 Created in 2011 by the Obama Administration Its Objectives are its Key Components They were made public September 8 th Created in 2011 by the Obama Administration Its Objectives are its Key Components They were made public September 8 th

11 The American Jobs Act 5 key Objectives The American Jobs Act 2011 - 2012 Tax cuts to help America’s small businesses hire and grow Put workers back on the job while rebuilding and modernizing America Provide pathways back to work for Americans looking for jobs Tax relief for every American worker and family Fully paid for as part of the President’s long-term deficit reduction plan The American Jobs Act Factsheet and Overview, the White House

12 The Comparison IssuesPWAThe American Jobs Act Funds for the Act $329,660,000.00 0 The Act is Paid For (no borrowing) NoYes Reduce DeficitNoYes Improve infrastructureYes Provide JobsYes Job Types ConstructionUnclear Project Types non-FederalUnclear U.S. States Affiliated 29All States U.S. Section Affiliated East CoastNation-wide Payroll Tax Cuts NoYes Prevent Layoffs Yes Give Tax Reliefs NoYes American Jobs Act Factsheet and Overview

13 PWA (+) + Clear Jobs description + Clearly asks for funding + An area is emphasized for this program + Improve Infrastructure + Prevented Layoffs + Has a national income creating, generating, spending model + Clear Jobs description + Clearly asks for funding + An area is emphasized for this program + Improve Infrastructure + Prevented Layoffs + Has a national income creating, generating, spending model

14 PWA ( – ) - No tax cuts under the PWA - No tax reliefs - No tax cuts under the PWA - No tax reliefs

15 American Jobs Act (+) + Planned to not need money + No borrowing + Improve Infrastructure + Payroll Tax Cuts + Give Tax Reliefs + Prevent Layoffs + Provide Jobs + Planned to not need money + No borrowing + Improve Infrastructure + Payroll Tax Cuts + Give Tax Reliefs + Prevent Layoffs + Provide Jobs

16 American Jobs Act (-) - Job Descriptions Unclear - Program Base Areas Unclear - Has No National or International Model for national income creating, generating or spending. - Job Descriptions Unclear - Program Base Areas Unclear - Has No National or International Model for national income creating, generating or spending.

17 Note The American Jobs Act was rejected because several sources reported that Capitol Hill said it was another Stimulus It was said to cost over 400 billion dollars over 10 years The PWA Cost over 7 billion over 5 years In 5 years the American Jobs Act would have cost over 200 billion dollars The plan within this act for Veterans was adopted, the rest thrown out The American Jobs Act was rejected because several sources reported that Capitol Hill said it was another Stimulus It was said to cost over 400 billion dollars over 10 years The PWA Cost over 7 billion over 5 years In 5 years the American Jobs Act would have cost over 200 billion dollars The plan within this act for Veterans was adopted, the rest thrown out

18 Conclusion: Final Note Basic issues that a public works program needs to address Could have looked at the design of a Public Works Program under the New Deal to answer questions, concerns about issues today I think it could be or would have been beneficial if it had a model: show they have control The PWA model sold the program and made it beneficial to people, it answered questions Because of the model, the program was worth a try. Basic issues that a public works program needs to address Could have looked at the design of a Public Works Program under the New Deal to answer questions, concerns about issues today I think it could be or would have been beneficial if it had a model: show they have control The PWA model sold the program and made it beneficial to people, it answered questions Because of the model, the program was worth a try.


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