American cities are coming back strong. The suburbs still maintain an edge when measured by per capita income and the median value of owner-occupied housing. But after decades of relative decline, the 22 cities studied by University of Virginia professors William H. Lucy and David L. Phillips held their own in the 1990s and regained some lost ground in the first half of the 2000s decade.
Lucy and Phillips compared 22 cities with populations of 250,000 or more with surrounding jurisdictions within their Metropolitan Statistical Areas. Drawing upon American Community Survey data, they found that per capita income rose from 86 percent of the MSA average in 2000 to 89 percent by 2004. The median value of owner-occupied housing increased from 83.7 percent of the MSA average to 86.4 percent over the same four-year period.
What’s happening? In a reversal of white flight/middle class flight, affluent households are moving back into the city and rehabilitating the housing stock. At the same time, lower-income households are leaking into surrounding counties and occupying the single-family houses, tiny by today’s standards, built in the 1950s and 1960s.
Lucy and Phillips conclude: “Rearrangement of the income geography of cities and suburbs presents new opportunities and challenges for public policy makers. Alleviation of effects of concentrated poverty and depleted city government treasuries remain daunting challenges. But now, market forces may contribute to reducing these problems rather than compounding them.”

Leave a Reply
You must be logged in to post a comment.