There's been a lot of rhetoric of late about creating green collar jobs, but I don't see concrete and specific steps being taken that apply this way of thinking about economic stimulus to our current challenges. I have three specific ideas to propose that I think can improve the job market while hastening our transition to a more sustainable way of life. I hope to stimulate discussion and brainstorming in the comments.
(1) Use tax rebates to promote green renovation.
Recent stimulus checks have been "no strings attached". Why not attach some strings? Does using a stimulus check to pay down debt stimulate the economy? Not really. It only amounts to shifting debt from the individual to the public, since the government is borrowing the money for the stimulus. I'm not saying that's entirely a bad thing, but maybe we can think about a kind of stimulus that creates wealth rather than simply shifting debt. Suppose that a stimulus was provided in the form of a tax rebate on the cost of green home renovation. This can be a simple as hiring a local handyman to weatherize the home for the coming winter, in which case the rebate could cover the entire cost to the property owner. It could also include a partial rebate for larger projects like installing solar panels or windows to improve passive heating. This idea creates local jobs and puts cash in the hands of individuals that will spend it locally. The handyman who buys a cup of joe on the way to installing new windows also helps the small business owner of that cafe. Furthermore, homeowners realize savings on energy, which means that such an approach to stimulating the economy has a positive feedback throughout the winter and beyond. Finally, the investment in the nation's housing infrastructure enhances its value, the decay of which is a cause of our current difficulties.
(2) Demand a "model T" home energy system from the big three.
Detroit wants something from us. Fine. I understand the arguments for the bailout and what's at stake if a company like GM goes bankrupt. However, if they get something from us we should get something from them. The obvious demand is cars with improved gas mileage, but we should go beyond the obvious. It will take time, even with management restructuring, to design new more efficient models and bring them to market. After that, it will take time for consumers to replace their old vehicles. So the energy savings from the coming changes in the auto industry are down the road. Compared to an automobile, it seems to me that the design of a small home wind turbine, for example, can be implemented more swiftly. The main thing technologically is optimizing the alternator/generator, and the automakers have engineering expertise in precisely that area. Of course, on the scale required for a home application we aren't going to be talking about huge energy output, but every little bit helps. The automobile has been a symbol of "independence" to Americans for generations. Let scalable home energy production be that as well. In my opinion, the automakers are a natural fit to come up with a system that, say, pays for the cost of the unit plus installation (more local jobs!) in five years. Why not?
(3) Scholarships and 0% education loans for engineering majors.
I read today that the California University system is cutting enrollment due to state budget cuts. This is terribly shortsighted thinking. Educated people contribute more net tax revenues. By educating fewer people California and other states will have lower future tax revenues. America needs to renew its commitment to math and science education as the engine of technological innovation. We can do this by offering federally subsidized scholarships and 0% loans for students entering school in engineering related fields. If a student accepts a scholarship then drops out or changes majors, the scholarship must be repaid basically as a loan. If a student qualifies for a loan by entering school in engineering then later switches majors, they wind up paying interest. What we don't need during a recession is more unqualified young people entering the workforce when there aren't jobs to be had. It's much better that more people be in school and we can subsidize that in the way that I've suggested.
Ok, each of my suggestions is probably flawed in some fatal way (e.g., safety issues with home turbines) but the point of my diary isn't exactly the specific suggestions. It is to try to stimulate discussion on some more innovative ideas than the usual "stimulus check" sort of thing or even extending unemployment benefits. Obviously, I think that unemployment benefits need to be extended but I'd also like to hear more original policy proposals that actually get people to work or give them the education and training for the green jobs that must become more than just a line in a speech.