The Biden administration has released its federal budget for 2022, which envisions a large increase in the size of government.

President Biden is proposing to expand federal intervention in many areas that are the responsibility of state and local governments and the private sector.

President Biden’s infrastructure plan includes $174 billion in subsidies for electric vehicles and charging stations.

President Biden’s infrastructure plan includes $174 billion in subsidies for electric vehicles and charging stations.

President Biden’s infrastructure plan is a mess of contradictions.

President Biden’s infrastructure plan is a mess of contradictions.

A damaging effect of government expansion is the “crowding out” or displacement of private‐sector activities. Governments often think that they can do better than businesses, and they take over industries or intervene to set things right. But they misjudge, and government‐dominated industries usually become bloated, stagnant, and distorted.

Transportation Secretary Pete Buttigieg says America’s roads and bridges are “crumbling.” The administration’s infrastructure plan says, “After decades of disinvestment, our roads, bridges, and water systems are crumbling,” and it notes that 45,000 bridges are in “poor condition.”

President Biden has proposed a $2.3 trillion infrastructure plan. It moves entirely in the wrong direction by increasing subsidies and centralizing power. A better approach would be to end federal subsidies and decentralize infrastructure ownership and decisionmaking.

President Biden is introducing an infrastructure plan today costing $2 trillion. The plan is a combination of subsidies for corporations and subsidies for state and local governments. Both types of subsidies are unneeded and wasteful.