END 301 Lecture Notes - Lecture 9: Government Failure, New Urbanism, Construction

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Jobs were concentrated near the city center: to economize the cost of transportation, close to railroad terminals and ports, facilitate rapid exchange of information. Building construction technology: balloon-frame building 1832, otis demonstrated a safe steam powered elevator in 1854, steel structure. Trucks suburbanizing manufacturers: developed ~1910, x2 faster, x. 5 cost less than horse-drawn wagon, between 1910 and -20, number of trucks in chicago increased from 800 to 23k. Economic rules: tradeoff between freight cost and wages, new localized equilibrium. Employment: back office operations (paper processing rather than information exchange, reduced importance of face-time, telecommunication. Population: rising income leads to larger houses. 60 years ago, smaller, manufactured houses were more desirable: lower commuting costs. Central-city fiscal problems: fiscal problems lead to suburbanization leads to worsening fiscal problems, etc. Subsidies per passenger mile: car: 22 cents (including parking, transit: 29 cents. Not clear that high-density developments are associated with low vmt and with low energy consumption.

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