Blog

  • Chicago Condo Market Inertia

    New home sales went down by a whopping 73 percent in the Windy City during the first six months of this year. But developers, anticipating high demand – especially for the condo market – have committed to keep building them. From the article in Crain’s Chicago:

    “Developers are building at a record pace, with 9,528 units scheduled to be finished by the end of next year, Appraisal Research says. Nearly 33% of those remain unsold, a high percentage but slightly better than the first quarter’s 35%.”

  • Income Chasm Growing in Massachusetts

    Mirroring a national trend, the income gap is increasing in the Bay State. From the Boston Globe article:

    “The gap between rich and poor has widened substantially in Massachusetts over the past two decades, according to a new study by the University of Massachusetts. Only those earning the highest incomes benefited from gains in technology, productivity, and globalization, while middle-class earnings stagnated and incomes for poor families plunged 15 percent.”

  • Louvre Café Syndrome: Misunderstanding Amsterdam and America

    Tourists, journalists and urban planners are often smitten with what might be called the “Louvre Café Syndrome.” This occurs when Americans sit at Paris cafes in view of the Louvre and imagine why it is that the United States does not look like this. In fact, most of Paris doesn’t even look like this, nor do other European urban areas. Like their US counterparts, European urban areas rely principally on cars for mobility (though to a somewhat lesser degree) and their residents live in suburbs that have been built since World War II.

    The last example of Louvre Café Syndrome comes from Washington Post Writer’s Group columnist Neal Peirce, who suggests that Amsterdam, with its bicycles, is the model for America to follow in a time of high energy prices.

    Not only is this view incorrect, but Amsterdam is not even a model for the Netherlands. The largest urban areas of the Netherlands, Amsterdam and Rotterdam, have been “stuck in neutral” with respect to growth for at least 45 years. United Nations data indicates that since 1960, 97 percent of urban growth in the Netherlands has occurred outside these two large urban areas. While the population of the two largest urban areas has increased approximately 10 percent, the urban population outside these areas has increased by 120 percent.

    And how do these urbanites that have chosen not to live in Amsterdam or Rotterdam travel? Try by car. Overall, in the Netherlands, approximately 85 percent of travel is by car — a figure that is nearly identical to the United States. All of the subway and light rail ridership in the Netherlands is less than the annual increase in car use. Some model.

    America is a growing nation. Between now and 2030, approximately two-thirds of the urban growth in the developed world is projected to occur in the United States — that is a considerable number given the fact that the US accounts for less than one-third of the developed world’s urban population today. The strategies that work in urban areas with stagnant growth — such as Amsterdam — will not work here.

    As for the bicycles, one could also point to walking and the large share of travel that it represents in Manhattan or the Chicago Loop. A European felled by Louvre Café Syndrome might visit these places and imagine that the urban area looks the same all the way to the urban fringe — that the citizens of New Brunswick, Westfield or Aurora live in residential skyscrapers and that they walk everywhere. Such a view would be as faulty as Peirce’s vision of Amsterdam.

    It helps to think of things in context. Amsterdam would barely rank in the top 50 metropolitan areas of the United States. The Netherlands has a population less than that of two American metropolitan areas (combined statistical areas), New York and Los Angeles. Finally, all of the Netherlands — urban and rural areas — would fit into an area approximately 1.5 times that of the New York metropolitan area.

    You can’t see everything from the Louve.

    Wendell Cox is a Visiting Professor, Conservatoire National des Arts et Metiers, Paris and the author of “War on the Dream: How Anti-Sprawl Policy Threatens the Quality of Life.”

  • Wondering About Skid Row: Whatever Happened to Work?

    I found myself in separate, private discussions with a couple of high-ranking city officials recently. They were pleasantly challenging exchanges, especially because both of my conversation partners displayed intellectual curiosity and willingness to consider divergent viewpoints. Those are wonderful qualities in general, and encouraging when found in individuals who have some influence on public policy.

    The subjects of poverty and crime in the Skid Row district of Downtown Los Angeles came up in both talks. The conversations covered various causes and effects—a changing economy, substandard educational systems, racism, the erosion of the family unit, our consumer society’s penchant for marketing violence as entertainment. It wasn’t all sociology, though—the fact that some individuals simply choose crime as a shortcut in life also came up.

    The talks served as reminders that any genuine improvements in Skid Row and other hard-pressed locales will require our entire society to work on a circumspect and well-reasoned plan.

    Los Angeles might appear to be in the first stages of such a plan with its efforts to rid Skid Row of the violent crime that has plagued the area for years. The program has had some success, but there’s still far more poverty and crime in Skid Row than would be tolerated in most neighborhoods. Indeed, it has become apparent that law enforcement can only keep a lid on things. It’s clear that the rest of us—and other public agencies—must work toward a next step or remain stalled on a recently achieved plateau that falls well short of other worthy goals.

    That’s where it gets tough, because I came away from the recent talks with the two high-ranking city officials filled with the feeling that too few of their colleagues have given much thought to a next step for Skid Row. I now wonder whether the most recent efforts to forge improvements have stalled because the tactic of fighting crime on Skid Row is not part of any larger strategic plan. That sort of stall might be happening before our very eyes, because most of us continue to view the poverty and crime of the area from a distance safe enough to preserve misunderstandings.

    Sure, the Los Angeles Police Department (LAPD) is knee-deep in crime-fighting efforts inside Skid Row. Various activists are busy keeping an eye on the LAPD. A roster of social-service providers offers stop-gap shelter and patchwork health care.

    Meanwhile, the dynamics surrounding Skid Row have not changed much. Some folks want the cops to clear the poverty and crime away—and some of them don’t care how the job gets done. Another contingent views the whole thing from a few blocks away, anxious to somehow hear a magical “all-clear.” Some sit farther away, concerned only with keeping whatever is going on in Skid Row from bumping against their neighborhoods.

    It struck me—after I had a chance to reflect on the recent conversations with the two city officials—that any progress on poverty and crime in Skid Row will require one key ingredient that hasn’t gotten much attention lately: Jobs.

    When is the last time you heard anyone talk about work when the topic turned to Skid Row?

    I realize that some folks there won’t be able to work. There has been too much chemical and emotional damage, and they will be wards of the larger society for the rest of their lives.

    There are, however, many in Skid Row who would welcome a chance to earn a living, willing to do what it takes to make that possible. That means rehabilitation and training—and incentives for employers willing to serve as a bridgehead for workers who will likely be special cases for a period of time on the job. Someone will have to figure out what sort of employers might consider such an idea. We’ll have to determine what it will take to draw jobs to locations in or near Skid Row, or entice employers already in the area to do more local hiring.

    That’s a next step into another multi-tiered challenge. It’s a challenge that must start with jobs—or at least a requirement that the concept of work returns to the conversation when we talk about “cleaning up” neighborhoods such as Skid Row.

    Jerry Sullivan is the Editor & Publisher of the Los Angeles Garment & Citizen.

  • Public Opinion Favoring a new New Deal?

    According to this report by Greenberg Quinlan Rosner research, the American public is restive for “bold change.” One of the key findings of the report is that: “Voters are looking for dramatic action. Just 35 percent of voters say we can solve America’s problems with minor changes, while nearly two-thirds believe it will take ‘major changes’ to bring about solutions.” And these respondents look more favorably upon the political legacy of FDR, rather than Reagan, to affect that change.

    This climate of political disenchantment is similar to the one that greeted FDR when he entered office. Americans had gone through 12 years of Republican administrations; they viewed Hoover as grim and ineffectual as a leader. His predecessor, President Coolidge, had a famous line that “the business of government is business” which did not exactly resonate with the masses in the fall of 1932. People were ready for boldness and a different approach to economics and government and they got it.

    Memo to the candidates to “make no small plans.”

  • New York’s loss is Chicago’s Gain?

    The Chicago Tribune reported recently on the state of the finance industry in the Chicago area. Reports indicate smaller, more nimble finance companies in Chicago are tapping an exodus of traders, bankers and investment managers:

    Employment in the securities and commodity industries has held steady in the Windy City, showing an unusual resilience while marquee names such as Citigroup, Merrill Lynch and Lehman Brothers hemorrhage billions of dollars in connection with subprime mortgages. Members of the Chicago trading community say the transparency and technology provided by the futures and options exchanges has insulated them from losses the International Monetary Fund estimates will total $1 trillion.

    Looking at the historical numbers, Chicago passed NYC in banking employment in 2001, but that industry is in slow decline in Chicago after peaking in late 2006. Securities jobs in Chicago have remained steady, while this sector in New York City began its sharp decline in September 2007. I’d say any evidence of Chicago growth based on New York’s finance job loss is still anecdotal. (Click the chart for a bigger image.)

    Chicago Trib link via Steve Bartin.

  • Excavating The Buried Civilization of Roosevelt’s New Deal

    A bridge crashes into the Mississippi at rush hour. Cheesy levees go down in New Orleans and few come to help or rebuild. States must rely on gambling for revenue to run essential public services yet fall farther into the pit of structural deficits. Clearly we have gone a long way from the legacy of the New Deal.

    The forces responsible for this dismantling are what Thomas Frank calls “The Wrecking Crew,” the ideological (and sometimes genealogical) descendants of those who have waged war against Franklin Roosevelt’s New Deal since its birth 75 years ago. Few today articulate any vision of what Americans can achieve together because “the public” is the chief and intended casualty in that long war.

    Those whom the mass media routinely refer to as conservatives better know themselves as counterrevolutionaries against what FDR wrought. Ronald Reagan proclaimed that government is the problem as he made it so. Almost two generations after President Roosevelt’s death, President Reagan and his conservative surrogates depended upon the amnesia of those who know little about what the New Deal did and what it still does for them to undo parts of its legacy.

    I was not much more enlightened when I began what became the California Living New Deal Project four years ago. I thought that — with a generous seed grant from the Columbia Foundation — photographer Robert Dawson and I could document the physical legacy of the New Deal in California. Since the New Deal agencies were all about centralization, I thought, I would find their records neatly filed back in Washington at the National Archives and Library of Congress. I was wrong on all counts.

    I discovered, instead, a strange civilization buried beneath strata of forgetfulness, neglect, and even malice seventy-five years deep. Aborted by the Second World War FDR’s sudden death, then covered with the congealed lava of the McCarthy reaction, the half dozen or so agencies that had created the physical and cultural infrastructure from which grew America’s post-war prosperity left few accessible records of their collective accomplishments. So many-pronged and multitudinous was the Roosevelt administration’s onslaught upon the Depression that even FDR’s Secretary of the Interior and head of the Public Works Agency (PWA), “Honest Harry” Ickes, admitted that he could not keep track of it all.

    With the help of hundreds of photographs scanned at the National Archives and other collections, journal articles of the period, historical surveys, mimeographed WPA reports, as well as local historians and other informants, an indispensable matrix of public works was revealed to me. Most of our urban airports and rural airstrips, it now appears, began as projects of the WPA and CCC (Civilian Conservation Corps), while California’s many community colleges are similarly New Deal creations. (Between two illustrated talks I recently gave to large audiences at Santa Rosa Community College, Professor Marty Bennett led the first New Deal tour of a campus almost entirely built by Ickes’ PWA.) Committed to public education in all of its manifestations, the WPA and PWA built and expanded literally hundreds of schools throughout the state to replace older buildings that were seismically unsafe, inadequate, or nonexistent. Most are still in use.

    The availability of plentiful and cheap labor as well as PWA grants and loans made the Bay Area one of the most desirable regions in the country by giving it a vast network of public parks and recreational areas. A WPA report on that agency’s accomplishments in San Francisco noted that WPA workers had improved virtually every park in the city: that now appears to be true of most older towns in California where federally employed workers left a legacy of handsome stonework, public stadia, tennis courts, golf courses, swimming pools, baseball diamonds, and restrooms but few markers. Other federal employees built a network of all-weather farm-to-market roads enabling growers to get fresh produce to towns and tourists to visit every corner of the state. Still others completed and expanded public water supplies and electrical distribution systems as well as sewage treatment plants that, for the first time, insured the majority of Americans safe and plentiful drinking water.

    As the scale and extent of that often forgotten civilization grew ever larger, cataloging and mapping it fast outpaced my organizational and technical skills. With the joint sponsorship of the California Historical Society, the California Studies Center, and the Institute for Research on Labor and Employment (IRLE) at UC Berkeley, the California Living New Deal Project morphed into an unprecedented collaborative effort to use informants throughout the State to inventory and map what New Deal agencies achieved and to suggest what might have been. In particular, I am grateful to the IRLE Library whose staff maintains and continually expands the CLNDP website with input from research assistants and informants.

    The Roosevelt Administration and those it brought to Washington envisioned a collectively built America whose immense productive capacities could benefit all. A profusion of splendid public spaces such as Mount Tamalpais State Park’s Mountain Theater and the Santa Barbara Bowl would, they believed, make citizens and community of a polyglot populace. Together with a plethora of well-built public schools, libraries, post offices, parks, water systems, bridges, airports, hospitals, harbors, city halls, county courthouses, zoos, art works and more, New Deal initiatives spread the wealth and enriched the lives of uncounted Americans.

    In his last State of the Union address, FDR’s firm and confident voice enunciated the need for a second bill of economic rights that would ensure everyone a modicum of freedom, a freedom that his country promised but so often failed to deliver. If extended worldwide, Roosevelt suggested, that Bill of Rights could short-circuit future wars such as the one still raging as he spoke. “Necessitous men are not free men,” he told the nation, a condition afflicting the vast majority of people today.

    Gray Brechin is a Visiting Scholar at the U.C. Berkeley Department of Geography and the Project Scholar of the California Living New Deal Project. He is the author of “Imperial San Francisco: Urban Power, Earthly Ruin” and, with photographer Robert Dawson, “Farewell Promised Land: Waking from the California Dream.”

  • Emerald City Emergence: Seattle and the New Deal

    Seattle voters, if not the city’s newspapers, were strong supporters of Franklin Roosevelt and the New Deal in the 1930s and 1940s. As in many parts of the country, New Deal programs had a profound effect on Seattle and Washington state.

    Seattle was a city dependent on industry and trade, and was hard hit by the Great Depression. The most famous and highly visible manifestation was the creation of a large shantytown worker settlement called Hooverville, spurred by the Unemployed Citizen’s League located on city land just south of downtown (where giant football and baseball stadiums are now!). The city burned it down after a week, the workers rebuilt it, the city burned it down again, and it was again rebuilt, this time with tin roofs. It was occupied until the end of the Depression. Its first mayor was a Jesse Jackson, who served as liaison to City Hall. A special census of 1934 counted 632 residents in 490 dwellings.

    Even before then, Seattle and the state of Washington were already infamous for their radicalism, having spawned the only general strike in the nation’s history (1919), and the Centralia and Everett massacres, (1916, 1919) in which company goons fought with IWW (International Workers of the World) workers. Seattle also had an early history of public ownership, notably municipal power starting in 1902.

    Not surprisingly, then, the prospect of federal-sponsored programs, jobs and some constraints placed against the perceived excesses of Big Capital was highly appealing and resulted in huge victories for Roosevelt and the Democrats in 1932, 1936 and 1940. In 1916, Anna Louise Strong, a communist, was elected to the Seattle School Board. Indeed, James Farley famously referred to “the 47 states and the soviet of Washington.” Seattle and Washington’s most successful and powerful political leader, Warren Magnuson, began his congressional career in 1936 from Seattle’s first district, and remained an unreconstructed New Dealer until his retirement from the Senate in 1981.

    Another powerful figure was Dave Beck, who took over the local Teamster’s Union in 1936. Beck played a critical role in forging a less confrontational relation to capital than the more radical Harry Bridges of the Longshoremen.

    Within the City of Seattle and suburbs, the WPA left an enduring legacy: bridges and retaining walls and drainage systems, parks and playgrounds, roads and trails, sewers, recreational facilities and programs, sewing for the needy, airports, streetcars, low income housing, and programs for musicians, artists and writers. For example the Federal Artist Project employed the well-known artists Kenneth Callahan and Morris Graves.

    New Deal activities across the rest of the state were even wider and larger in scope. The greatest New Deal project by far was the Bonneville Power Administration, the Bureau of Reclamation’s construction of dams along the Columbia, culminating in the giant Grand Coulee Dam that drove the development of the Columbia Basin irrigation project, the nation’s largest. Seattle City Light’s J.D. Ross became the first director of Bonneville Power.

    The WPA and the CCC (Civilian Conservation Corps – also known as the “forest army”) also completed hundreds of less spectacular but amazingly successful and lasting projects in the national forests and parks, and communities across the state. Perhaps most amazing was the government’s direct sponsorship of several rural utopian communities.

    Today, although the real liberal voices of the New Deal era are now gone, the Seattle region remains somewhat “left” by national standards. But its radical, egalitarian soul has been largely lost. In 1975 Seattle was one of the nation’s most egalitarian cities, a legacy of the New Deal and its powerful, well-paid blue collar economy. Today it is now one of the most unequal!

    Of course, this does not stop the local establishment and media from viewing itself as “progressive.” In 2008, there are no Republicans on the Seattle City Council, and no Republican from any Seattle district and few that hail from suburban districts in the Washington state legislature.

    But the meaning of “progressive” today is utterly foreign to what it connoted in New Deal days. The metropolis is very highly planned, under the Growth Management Act, but the goals and policies are entirely by and for the affluent professional class: subsidies of opera houses, stadiums, replacement of public housing by “integrated developments” with high shares of market rate units. There’s an unfortunate concentration of transportation investment in astoundingly expensive rail transit, which would mainly serve affluent commuters to downtown Seattle and a density-oriented strategy to replace single family homes, many smaller homes from the ‘20s and ‘30s, with miles of family-unfriendly apartment towers. It all boils down to encouragement of drastic gentrification, with wide displacement of the poor and minorities to suburbs south of the city, and tight urban growth boundaries, resulting in severe housing price inflation, while preserving “open space” for 20 acre suburban estates! And, I believe, the most regressive tax structure of all 50 states.

    One has to wonder what the New Dealers back in the 1930s and 1940s would think of our proudly “progressive” Seattle politics today. Likely not much.

    Richard Morrill is Professor Emeritus of Geography and Environmental Studies, University of Washington. His research interests include: political geography (voting behavior, redistricting, local governance), population/demography/settlement/migration, urban geography and planning, urban transportation (i.e., old fashioned generalist).

    The photo is of a retaining wall built by the WPA at the Cascade School in Seattle. Courtesy of the Seattle Municipal Archives Photograph Collection.