The President’s $8.4 billion infrastructure plan for 2017, which he unveiled Wednesday night, will cost more than its expected to by about $6 billion, according to a new study released by the conservative American Action Forum.
The report was based on a preliminary analysis by the nonpartisan Congressional Budget Office.
The $8-billion estimate is based on the assumption that the White House’s infrastructure plan would be approved by Congress as a “major legislative accomplishment.”
The $4.2 billion estimate assumes that Congress would approve the infrastructure bill as a law.
The C.B.O. analysis found that the $4 billion estimate would likely be lower than the actual cost of the infrastructure project if the $8bn figure is correct.
The Congressional Budget Act of 1974 required the C.P.A. to estimate the cost of a major legislation and report it on the Congressional Budget Officer website every five years.
In addition, the report states that the cost estimate should not be used to judge the overall benefits of a particular infrastructure project, as there is a substantial risk of overstatement of costs.
The cost estimate for the $3.8 billion stimulus package was based entirely on the CBA estimate that the legislation would have passed.
The new study, published in the Journal of Economic Perspectives, estimates that the stimulus bill would cost $9.2 trillion, based on CBA estimates.
It also estimates that construction would cost about $7.8 trillion.
In other words, the study found that $8 trillion of the $9 trillion infrastructure bill would be spent on the stimulus and construction projects.
“This is a very good news story, which is that the American people are looking forward to a $4 trillion spending plan for infrastructure,” said AFA President Matt Kibbe.
“The President’s plan is a good deal for the American worker and for the economy.
He’s getting the most bang for the buck for the money.”
The study was conducted by the Center for American Progress, a left-leaning think tank based in Washington, D.C. The Center for Responsive Politics analyzed the budget, legislative history, and other data on the infrastructure plan, and found that it would have a $837 billion impact on the U.S. economy over the next decade.
The CBO estimated that the federal government would spend about $14 trillion on infrastructure, with about $5 trillion of that coming from taxes.
The other $4,000 billion of the total stimulus would be used for other purposes, including the National Guard and national defense.
“Congress has a lot of responsibility to make sure that we can keep the American public safe,” said Kibb.
“We have to make investments, and this is the most effective way to do that.”