A SIMPLE URBAN ECONOMIC QUESTION

 

This is an addendum to my essay, “The Implications of Land Use & Urban Design Decisions”.

 

What does the taxable land in a city’s inventory yield in average revenue per acre -- and what should it cost the city per acre to operate, maintain, improve, and finance a desirable quality of life without continuing budget costs and tax increases? The municipal budget must balance each year, but this is no indication of physical, social, or economic success.

If there is a municipal budget deficit, an economic development strategy is needed for all of the acres in a city’s inventory; since this is a primary source of revenue and not all acres will be productive. If a city does not understand its average revenue productivity per block and per acre of land use and shelter capacity allocation, it will continue pursuing random economic development projects without understanding the comprehensive economic strategy needed to lead its physical decisions to foreseeable financial improvement in the balance between its revenue and expense per acre of its inventory.