by Stephen Wade, Guest Author
As the economy continues to slide deeper into recession and we debate how to most effectively use the American Recovery and Reinvestment Act, there is the question over what role our cities and metropolitan areas can and should play. Interestingly, the “World is Flat” school of thought espoused by Thomas Friedman that place is becomingly less important seems to be partly undermined by the unequal effects of the economic crisis on different areas. The urban theorist Richard Florida argues in a recent Atlantic article that in reality the “World is Spiky.” Metropolitan areas, magnets of innovation that are able to adjust on the fly to changing economic conditions, are becoming more important. This is good news for the environment and economy because as activities, development, and people cluster, open space is protected.  People also drive less, walk and ride transit more, and the economy becomes more diverse and dynamic (see previous post on balance in an economy).

Metropolitan areas and places with multiple assets, such as transportation and IT infrastructure, effective local government, universities, and historic properties, will become even more important as the economy moves away from carbon dependence. A recent Brookings study offers steps for America’s older industrial cities like Detroit, Buffalo, Cleveland, Pittsburgh, and Allentown, which still possess many of the nation’s prosperity driving assets, to capitalize on the changes in the economy. In older industrial cities like these, manufacturing jobs are disappearing, indices of innovation (like new patents) are declining, the middle class is shrinking, and their carbon footprint is expanding. Unless rectified, this trend will lead to further economic stagnation and environmental degradation. To address these challenges, metropolitan areas need to make financial and political investments in innovation, human capital, infrastructure (transportation, telecommunications, and water), and regional collaboration (or regionalism). By taking these steps, older industrial metropolitan areas can become models of sustainable and vibrant 21st century places.

- Stephen Wade is an urban planner in the Northern Virginia area.