Real Estate Economics and City Planning

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RealEstate Economics and City Planning

Glaeseris one of the leading economists in the world. His book ‘Rethinkingfederal housing policy’ summaries more about cities and housingpolicies. His book is a love letter to the New York City. He arguesthat cities provide the absence of space between people and companiesdue to their density, proximity, and closeness (Glaeser 248). In hisbook, he describes three simple rules that could protect the vitalityof the urban environment. First, cities should replace the lengthypermitting process with a simple system. Second, historic sitesshould be limited. Lastly, neighbourhoods should have clearlydelineated power to protect their character.

ExplainGlaeser statement ‘The declining costs of connecting over longdistances have only increased the returns of clustering together.’

Accordingto Glaeser, he argued that the declining costs of connectingbuildings over long distances have increased the returns ofclustering together. By this, he meant that as the cost of buildingnew houses and mortgaging reduces, contractors are engaged inbuilding more houses so that most people can take advantage of thelow cost of houses. As more houses are built, there will be little orno space left. This leads to the clustering together of houses.

OneExample Glaeser Uses to Support this Statement

Inhis book, Glaeser uses his first rule to inform the society that theyought to reduce unnecessary transaction costs and reduce negativeexternalities (Glaeser 248). The other two rules support the firstrule. From the second rule, Glaeser acknowledges that historical andimportant buildings should be protected. Lastly, Glaeser uses thethird rule to acknowledge that democracy should play some role inland use decision making.

OneExample of your Own to Support this Statement

Glaeserstates in his statement that the declining of costs of connectingover long distances has led to clustering together of houses. Ibelieve that this is a fact since people would tend to build theirhouses near roads and social amenities. As most people migrate fromrural areas in search of greener pastures, congestion in the urbanareas is adamant. Here, they would want to acquire the availablespace in order to build their houses. As more houses are built ataffordable rates, the cities become densely populated and thereforeclustering together of houses are evident.

ThreeFactors that could limit a City’s Ability to Join the New AgeGlaeser Foresees.

Glaeserforesees a city that brings out equality. He foresees a city that isnot congested and that protects historical and important sites liketourist attraction sites. Three major factors could limit the abilityof a city to join the new age that Glaeser foresees. These factorsinclude urban inequality, lack of rules that govern historical sites,and rural to urban migration. Urban inequality relates to the gapbetween the rich and the poor. In cities today, there are those whoare extremely rich and those who are poor. This limits the city fromachieving equality in all manners. Second, many people have migratedto urban areas in search of employment opportunities. This has led tothe dense population as well as clustering together of people andhouses. Lastly, Glaeser wanted a city that protected its historicaland other important sites. In cities today, many poachers andvandalisms harm historical sites thus limiting them from joining thenew age of Glaeser.

WorksCited

Glaeser,E. (2011). TheTriumph of City.New York: The Penguin Press, pp. 248. Retrieved on 28thJuly 2016.