>> A No-Cost Stimulus That Can Create Real Jobs for the American People | The Foundry: Conservative Policy News.
Posted February 19, 2010on:
- In: Big Labor Unions | Bribery called Earmarks in congress | Davis Bacon Act | Economy/Money | Health Care | national deficit, taxes, national budget | National Politics | National Stories | Off Shore Drilling for oil and natural gas | Stimulus Plan 2009 | Subverting America by Uri Bezmenov | Taxes | The Mount Vernon Statement | Thye Tea Party Patriots Movement | United States taxes
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If deficit spending were the path to real-world economic growth, then the Greek economy would be booming. It’s not. There is an alternative. There are some no-cost measures our federal government could take that could create the space for American entrepreneurship and private investment, resulting in real long-term job growth. Heritage fellow James Sherk identifies eight such measures, including:
- Freezing all proposed tax hikes and costly regulations at least until unemployment falls below 7 percent;
- Freezing spending and rescinding unspent stimulus funds;
- Reforming regulations to reduce unnecessary business costs, such as repealing Section 404 of the Sarbanes-Oxley Act;
- Reforming the tort system to lower costs and uncertainty facing businesses;
- Removing barriers to domestic energy production;
- Suspending the job-killing Davis-Bacon Act (DBA);
- Passing pending free-trade agreements with South Korea, Colombia and Panama; and
- Reducing taxes on companies’ foreign earnings if they bring those earnings home.
The Davis Bacon and Related Acts (DBRA) requires all contractors and subcontractors performing work on federal or District of Columbia construction contracts or federally assisted contracts in excess of $2,000 to pay their laborers and mechanics not less than the prevailing wage rates and fringe benefits for corresponding classes of laborers and mechanics employed on similar projects in the area. The prevailing wage rates and fringe benefits are determined by the Secretary of Labor for inclusion in covered contracts.
In addition to the Davis Bacon Act itself, Congress added Davis-Bacon prevailing wage provisions to approximately 60 laws—”related Acts”—under which federal agencies assist construction projects through grants, loans, loan guarantees, and insurance. (Examples of the related Acts are the Federal-Aid Highway Acts, the Housing and Community Development Act of 1974, and the Federal Water Pollution Control Act.) Generally, the application of prevailing wage requirements to projects receiving federal assistance under any particular “related” Act depends on the provisions of that law.