EAST LANSING, Mich. – Michigan State University has a wealth of experts who can speak on many of the areas that will be addressed by two historic economic-recovery plans.
President Obama’s $75 billion anti-foreclosure plan, unveiled Wednesday, could help as many as 9 million Americans remain in their homes by reducing mortgage payments through government-backed refinancing arrangements.
“The Homeowner Affordability and Stability Plan is the boldest (and most expensive) plan yet to address the foreclosure crisis and related problem areas,” said Elliot Spoon, professor of law in residence in MSU’s College of Law. “Its success will depend in part on the participation of various stakeholders and details yet to be announced on such issues as eligibility and other loan modification mortgage guidelines.”
The Obama Administration said it will provide more details about the plan on March 4.
“Questions remain, including whether the plan has targeted the appropriate population of homeowners and provided sufficient assistance (primarily interest rate reduction) to that population,” said Spoon, who sits on the Federal Housing Finance Board, an independent regulatory agency.
Spoon can be reached at (517) 432-6854 or spoone@law.msu.edu.
The $787 billion economic-stimulus plan, which Obama signed into law Tuesday, is the largest economic rescue plan in U.S. history. It funds infrastructure projects, health care, education, energy, tax breaks and other areas.
K-12 education
David Arsen, professor of educational administration. “Per-pupil finding in Michigan has declined in the past few years, and it’s going to get worse. This stimulus package offers hope of cushioning that.” Arsen also can speak to the need for school construction. Phone: (517) 432-2276; e-mail: arsen@msu.edu.
Higher education
Val Meyers, associate director in the Office of Financial Aid. “I’m glad to see an increase in the Pell Grant amount in the stimulus bill. This money is targeted to the neediest students, and any increase in grant funding makes education more accessible by decreasing the amount of loans that a student may need to borrow. MSU’s commitment to the land-grant mission of educating Michigan students will be enhanced by the availability of this additional funding.” Phone: (517) 353-4554; e-mail: meyersv@msu.edu
Law enforcement
Jeremy Wilson, associate professor of criminal justice. “Local communities are struggling with a fiscal crisis, so they’re cutting budgets across the board – and those cuts are including law enforcement and fire safety personnel. The stimulus plan will allow them to hire back officers without a local match (of funding) and help them stabilize their departments.” Phone: (517) 353-9474; e-mail: jwilson@msu.edu.
Transportation funding
Kenneth Boyer, professor of economics. Like many transportation experts, Boyer believes the stimulus money intended for road and bridge projects does not address Michigan’s bigger need for a more reliable source of ongoing road and bridge funding. “The current system is unsustainable,” he said. And getting the public to accept higher taxes or fees, he added, will take an aggressive educational campaign. “Michiganders know that our roads are not the best, but they don’t want to pay for better ones. The public does not see a crisis here.” Phone: (517) 353-9088; e-mail: boyerkd@msu.edu.
Internet access
Robert LaRose, professor of telecommunication, information studies and media. The stimulus package includes $7.2 billion to expand broadband Internet access to rural and other underserved areas. LaRose is co-author of a report that found rural residents take full advantage of Internet access. “High-speed access through public schools and libraries increased dramatically (in those areas). Home broadband users were more likely than others to plan to take continuing education courses or start new businesses online.” Phone: (517) 353-6336; e-mail: larose@msu.edu.
Science
Thomas Dietz, assistant vice president for environmental research, director of the Environmental Science and Policy Program and professor of sociology and crop and soil sciences. Dietz said the $13 billion earmarked for science and technology in the stimulus package is a smart investment. “Science investment has short-term benefits in terms of employment, not only scientists and graduate students, but also people down the line -- technicians and the people who build the instruments. It also has a huge multiplier effect. I would argue that the industry that has the best balance of trade in terms of import and export is graduate education in science. Everyone wants to come to the U.S to get their graduate degrees.” Phone: (517) 432-8296; e-mail: tdietz@msu.edu.
Wolfgang Bauer, chair of the Department of Physics and Astronomy and a researcher at MSU’s National Superconducting Cyclotron Laboratory. “We can pull ourselves out of this economic crisis by looking to the future and working toward an energy economy for the 21st century and beyond. Large investments into science and technology are necessary to achieve this goal. But by taking the leadership in developing this technology, we not only create much-needed jobs, we also lay the foundation for U.S. pre-eminence in the world for decades to come.” Phone: (517) 353-8662; e-mail bauer@pa.msu.edu.
Health care
Jerry Kooiman, assistant dean for government relations and outreach in the College of Human Medicine. “The stimulus package provides a very significant investment in health care, including $19.2 billion for modernization of health records, $10 billion for research that will be used to develop cures for cancer, Alzheimer’s, Parkinson’s, heart and many other diseases, and $500 million to encourage the training of health care workers in primary medicine, nursing and affiliated health professions.” Phone: (616) 234-2604; e-mail: Jerry.Kooiman@hc.msu.edu.
William D. Strampel, dean and professor of College of Osteopathic Medicine and formerly a special assistant to the U.S. surgeon general for operations and readiness. He can discuss the impact the stimulus package may have on health-care insurance premiums for the unemployed, Medicaid, health information technology systems and government research funding. Phone: (517) 355-9616; e-mail: strampe3@msu.edu.
Energy
Soji Adelaja, John A. Hannah Distinguished Professor in land policy and director of MSU’s Land Policy Institute. “The stimulus money has the ability to translate into real money savings for homeowners through weatherization and more efficient use of energy. And it provides us opportunities to invest in projects we’ve wanted to do for a long time. What it comes down to is: Will this money be just a stimulus or the opportunity for communities to genuinely invest in their futures? What investments have the ability to really create jobs and to positively impact our future?” Phone: (517) 432-8800, ext. 102; e-mail: adelaja@msu.edu.
Steven Pueppke, director of the Michigan Agricultural Experiment Station and assistant vice president for research and graduate studies. Pueppke also directs MSU’s Office of Biobased Technologies and sits on the Advisory Committee on Biotechnology and 21st Century Agriculture of the U.S. Department of Agriculture. “The bioeconomy holds tremendous economic promise for the nation. The availability of stimulus funding will accelerate the pace of research and provide new facilities and infrastructure to turn research findings into new technologies that are ready for commercialization by the private sector.” Phone: (517) 355-0123, ext. 100; e-mail: pueppke@anr.msu.edu.
Auto sales
John Revitte, professor of labor and industrial relations. Some $1.7 billion is included in the stimulus package to make the sales taxes paid on new vehicles tax-deductible through the end of the year. “What happens in the next month with vehicle sales, the domestic auto companies’ survival plans and their negotiations with the UAW, bondholders, dealers and the federal government should prove to be a major turning point,” Revitte said. “The continuing lack of sales and the twists in the auto-rescue story will impact not just Detroit’s Big Three. The loan story continues to influence the domestic automakers' relationships with their workers, suppliers, dealers and other original-equipment manufacturers. And as the recession continues we could find the U.S. and global auto industry moving in entirely new and unexpected directions.” Phone: (517) 353-8884; email: revitte@msu.edu.
Politics
Matt Grossmann, assistant professor of political science. Despite Barack Obama’s election-trail campaigning against the influence of special interest groups in Washington, Grossmann said lobbyists played a major role in shaping the stimulus package. “The passage of the bill was a pretty partisan story. And that is, some new interest groups came into power with the rise of the Democrats and utilized that power for their benefit. We’ve hardly seen a decline in interest group participation overall.” Grossmann can also speak to the media coverage of the stimulus package, and of the Obama Administration overall. Phone: (517) 355-7655; email: matt@mattg.org.
Economy/fiscal responsibility
Charles Ballard, professor of economics. “The U.S. economy is facing its most serious crisis since the Great Depression. We have already lost more than 3.5 million jobs, and the contraction has gained momentum in the last five months. In that setting, it’s essential to take bold action. Of course, the stimulus bill that was signed into law has aspects that one could quibble about, but I support it strongly. If we were to do nothing, the results could be catastrophic. Even now that the package has been passed, it’s important to understand that it will take time for the economy to right itself. A combination of reckless lending and lax regulatory oversight has done profound damage to the economy, and it will take time to heal.” Phone: (517) 353-2961; e-mail: ballard@msu.edu.
Douglas Roberts, director of MSU’s Institute for Public Policy and Social Research. The stimulus package is “an enormous amount of money,” he says, “and in my judgment it is needed. It is clear there is considerable economic dislocation, and on a global scale. However, you cannot spend that amount of money – over any amount of time – without an ultimate impact. There will be repercussions. There will be a price to pay. There will be, classic economics tells us, higher inflation. There will be higher interest rates.” Phone: (517) 355-6672; e-mail douglas.roberts@ssc.msu.edu.
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