The American Jobs Act Encourages Risk Without Infrastructure or Results in Inaction By  The American Jobs Act is problematic because one of the main causes of the recession was excessive risk taking in certain businesses. This reckless behaviour was the result of poor regulatory infrastructure – the state and independent agencies were doing too little to monitor banks’ conduct. Whilst some spending from the act is going on the improvement of infrastructure in the form of better checks and balances on businesses such as banks which are critical to the economy, the majority of the spending is instead going on tax breaks. Whilst taking risk and encouraging risk is generally a good thing in recessions, the way in which money is put at risk must be controlled. If it is not controlled well enough then there is a significant chance that such spending could simply lead to another recession because of another crisis in another financial sector.9  Alternatively, businesses may opt to place a greater focus on debt repayments. This is what occurred during the Japanese crisis of the 90s. Companies might act in this way because they fear taking risks in such an unpredictable climate. If this is the case then the economic stimulus that the Act is meant to provide simply will not occur in the way that is intended, and much money that could have been spent on infrastructure will be wasted elsewhere.9