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The pandemic and post-pandemic period have been defined in many respects by capital. Beginning with the CARES Act and continuing with the American Rescue Plan Act, the Infrastructure Investment and Jobs Act, the CHIPS and Science Act, and the Inflation Reduction Act, this capital period has seen the federal government dedicate trillions of public resources for a broad set of activities, initially related to rescue and recovery (a focus on preserving existing businesses and communities) in 2020-2021 and then economic transformation (an industrial/energy transition of monumental proportions) in 2021-2023.

In War and Peace, Tolstoy famously observed that “Nobody was ready for the war which everyone expected.”

I was reminded of this quote when reviewing many of the newsletters published this year. As readers know, this platform returns again and again to the wicked challenges that cities and metropolitan areas face during this disruptive post pandemic period. (It’s difficult to say “post” when COVID seems to be raging again, but so be it).

As readers of this newsletter know, my attention has recently turned to the profound macro forces that are reshaping our nation and the world. As an urbanist, I am interested in the interplay between the macro and the metro and the ways in which large, disruptive transnational forces (e.g., rising tensions with China, the existential threat of climate change, the accelerated pace of technological advances, the dissembling norms of democracy) come to ground and affect the shape of communities and the lives of people.

For the past 30 years, with the fall of the Berlin Wall and the dissolution of the Soviet Union, the notion of a “peace dividend” took hold in the United States.  To use an old metaphor, less funding for guns meant more resources for butter.

As CIA Director William Burns asserted in a speech earlier this summer (DCIA William Burns Remarks – Ditchley 59th Annual Lecture), we are living through a rare “plastic moment” in history, one which is fundamentally remaking assumptions and arrangements that have been settled for decades.

Note: This article was originally posted on September 12th on the RealClear Pennsylvania website (How Pennsylvania Fares Amid the U.S. Industrial Transition | RealClearPennsylvania)

By all accounts, the post-pandemic period in the U.S. is characterized by a remarkable resurgence in advanced manufacturing—a response to such challenges as rising geopolitical tensions, the climate crisis, and supply-chain vulnerabilities. This transformation, which we have termed the “industrial transition,” is being catalyzed by increased federal spending—notably, via the Inflation Reduction Act (IRA) and the CHIPS and Science Act. Both acts confront these disparate threats by focusing on two key objectives: reshoring production and accelerating decarbonization.

One of my most rewarding activities this year is to serve as a member of the UK Urban Futures Commission.

As many readers of New Localism know, I have grown increasingly concerned over the past few years about the narrow scope of federal investments that are now flowing through the US. The use of the term “narrow” may seem odd, given the unprecedented volume of federal funding for investments in infrastructure, climate, manufacturing, and innovation. This funding is long overdue and has the potential to accelerate the transition of our economy to a more inclusive and sustainable future.

By all accounts, the post pandemic period in the US is characterized by a remarkable industrial transition. From the Covid-19 pandemic to climate change, the war in Ukraine, and rising tensions with China, macro forces and ample federal investments are prompting the re-shoring of advanced manufacturing and, relatedly, an accelerated decarbonization of the US economy.

The Inflation Reduction Act (“IRA”) is the largest legislative effort in U.S. history designed to accelerate the country’s transition to an alternative energy and climate future. This Act is remarkable not only for its ambitions but for its disproportionate reliance on tax incentives, a fundamental difference in structure from other Biden era legislation like the Bipartisan Infrastructure Law. A community hoping to maximize the value of IRA funding will need to organize networks of beneficiaries, intermediaries, and stakeholders in ways that integrate areas of practice (e.g., renewable energy, talent preparation and housing development) that are often kept separate and distinct.