Economics

I was asked by Fortune to contribute a piece about Trump’s Carrier deal. They had gotten a lot of people criticizing it and were looking for someone who would give a different perspective. I think many of the criticisms are valid in a sense, but miss the larger context. So I wrote the piece which is now online. Here’s an excerpt:  read more »

The news media was flattened on November 8th, but its recovery has already started.

One of the striking features in all the commentary on Facebook about Donald Trump's victory is the number of times that the words I, me and my appeared in member posts. For example, "I am proud", "I am optimistic", or "I am fearful", "I am worried", etc. The comments celebrating or lamenting the event were mostly about the way the writer felt about the event, not about the event itself. That looks like a subtle difference but it reveals a demarcating line between an introverted reaction vs. an extroverted one.  read more »

Defenders of California’s status-quo claim to be proud of California’s economic growth and worry about what Trump will do to that growth. If you are so impolite as to mention that this has been California’s slowest recovery in 70 years, as the following chart shows, you will be told that slow growth is good. It avoids the excesses of previous business cycles.  read more »

Back in 2008 or 2009 I gave a Pecha Kucha presentation in Indianapolis in which I said:

"Cities can’t survive on gentrification alone. The broad community has to be a participant in its success. That’s why I’m somewhat down on the notion of the creative class. It’s good as far as it goes, but it’s a self-consciously elitist vision. Where’s the working class in that?  read more »

The oligarchs’ ball at Trump Tower revealed one not-so-well-kept secret about the tech moguls: They are more like the new president than they are like you or me.

In what devolved into something of a love fest, Trump embraced the tech elite for their “incredible innovation” and pledged to help them achieve their goals—one of which, of course, is to become even richer. And for all their proud talk about “disruption,” they also know that they will have to accommodate, to some extent, our newly elected disrupter in chief for at least the next four years.  read more »

Much has been written about the growth of the sharing economy where information technology, such as mobile apps and automated software facilitate interactions between businesses, individual workers, and customers. Proponents argue that the system provides greater access to goods and services at lower prices while reducing costs for employers and independent contractors.  read more »

Now and again Australia erupts in controversy about housing affordability. Each time it follows the same course. Some new statistic or media story confirms that prices are out of control. A senior politician is prompted to call for deregulation and more supply, and is backed-up by the property industry. Then come progressive policy wonks saying no, the issue is high investor demand stimulated by tax concessions. Next emerge the welfare lobby, calling for tax reform as well as more social housing and “inclusionary zoning”.  read more »

From its inception, the American experiment has been dogged by racial issues. Sadly, this was even truer this year. Eight years after electing the first African-American president, not only are race relations getting worse, according to surveys, but the electorate remains as ethnically divided as in any time of recent history.     read more »

The Economy of Cities

Cities have been called “engines of growth”.  What does that mean?

Fly over a major city and what do you see? Not well defined centers and sub-centers. More likely, an amazing complexity. We argue that what is actually down there, but hard to actually see, is a large number of superimposed and spatially realized supply chains.  read more »

The Brookings Institution is again out with data on the world’s most affluent metropolitan areas. The GDP data is in Redefining Global Cities, which contains a treasure trove of data.  read more »