Orchestra video - Home | Caesar Rodney · From: “The Luxury City vs. the Middle Class” ... a...

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Voting with Your Feet

Dr. Bartley R. Danielsen Assoc. Prof. of Finance and Real Estate

North Carolina State University

Naperville, IL

The reason?

Good schools

Seven years later

• I had tenure

• I weighed 20 pounds

more

• I had diabetes

• And I had company

Long Commutes Linked to

Risk of Diabetes

“We have built America in a way that is, I believe, is

fundamentally unhealthy. It prevents us from walking. It

inhibits us from socializing. It removes trees and the things

that make our air quality better. We could not have

designed an environment that is more difficult for people’s

well being at this point. Two percent of the United States’

gross domestic product goes to the treatment of diabetes.

This is a crushing economic impact.”

Dr. Richard Jackson

Chair, Environmental Health Sciences (UCLA)

Danielsens resolve to

move into Chicago

However, public schools in downtown Chicago

are really bad

Whitney M. Young Magnet High School

Magnet School Rules

• Students are selected

by a computerized

lottery

• No attendance

boundaries

• Students across the

city may apply

A Possible Magnet School

Plan?

Danielsen Chicago School Plan:

• Sell the house in Naperville

• Move to Chicago

• Enroll the children in the bad schools

• Apply for magnet programs

• Wait for the lottery

• Pray for the children to be delivered into the

magnet

We needed a new plan

Chicagoland Population

Changes

Inner-city schools are a major contributor to

continued urban sprawl

“There's a flight out by many middle-class people

because of schools. A couple gets married and by

the time their children get to age five, they move.”

From: “The Luxury City vs. the Middle Class”

http://www.joelkotkin.com/content/0052-luxury-city-vs-middle-class

New York Times, July 6, 2010 “The question starts to hang in the air sometime

after the children arrive, and the apartment in the

city begins to feel a little tight:

Should we consider moving to a house in the

suburbs?… if the deciding factor is the relative cost

of each, the answer is quantifiable... based on an

apartment and a house in the New York

metropolitan area. … a suburban lifestyle costs

about 18 percent more than living in the city.

New York Times, July 6, 2010

“… But the one big caveat in all the calculations is

private schooling. If the city dwellers decide to send

their children to private school-- that expense would

instantly make the suburbs a bargain.”

From: “High-Rise, or House With Yard?,” New York Times, July 6, 2010.

http://finance.yahoo.com/real-estate/article/109998/high-rise-or-house-with-

yard?mod=realestate-buy

Petroleum is the biggest CO2 contributor

“Petroleum supplied the largest share of domestic

energy demands, accounting for an average of

47 percent of total fossil-fuel based energy

consumption.”

http://www.epa.gov/climatechange/emissions/co2_human.html

Commuting = Petroleum

“About 95 percent of the energy consumed in

the transportation sector is petroleum.”

http://www.eia.doe.gov/oiaf/environment/emissions/carbon/index.h

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1. Draw school district lines on the

ground.

2. People will vote with their feet (if they

can).

3. Impacts

– School Qualities will differ

– House prices will reflect school quality

• Economic Segregation

• Spatial Mismatch

• Income Inequality

People Vote with their Feet

(Tiebout, 1956)

Federal Aid Highway Act of 1956

Year

Vehicles

per

capita

1950 0.286

1960 0.377

1970 0.481

1980 0.615

1990 0.717

2000 0.755

2007 0.824

1. Draw school district lines on the ground.

2. People will vote with their Cars (if they can).

3. Impacts

– School Qualities will differ

– House prices will reflect school quality

– Economic Segregation

– Spatial Mismatch

– Income Inequality

4. Tiebout fueled with gas – sprawl,

pollution, CO2, traffic, roads

Now people vote with their

cars

D