Investing In Infrastructure Companies

The U.S. has been lagging in infrastructure spending for decades. At present, America spends less than 2.4% of its GDP on infrastructure, compared to 5% in Europe and 9% in China. At the same time, the U.S. population is expected to grow 50% by 2050.

According to an estimate from the American Society of Civil Engineers, its suggested that the U.S. government will need to spend $1.6 trillion over the next five years just to bring existing infrastructure into solid working condition.

The flooding in the Midwest has pushed this issue even closer to center stage. Pictures like these are popping up in every paper:



Even though the housing and construction industry may be tanking, companies that deal in infrastructure development should do very well for the next several years.

According to one newsletter editor,

The next president, whoever it is, will feel a lot of heat next year -- the Highway Trust Fund runs out of money in 2009, for example -- and a big spending package on infrastructure seems likely.