Despite huge and ongoing budget deficits, some policymakers are proposing to increase federal spending on infrastructure. President Obama, for example, has called for passage of a $50 billion plan for new infrastructure investment. The president and other leaders believe that more federal spending on roads, rail, and other assets would boost growth and create jobs. But instead of increasing federal infrastructure spending—as some policymakers are proposing—we should begin devolving federal infrastructure activities to the states. The states should then unleash businesses and entrepreneurs to help America solve its mobility and congestion challenges.