Well Funded Transportation Networks Promote Economic Development

Traditional strategies seek to attract major employers but often neglect the transportation networks that make commuting possible and convenient for more workers.

2 minute read

July 9, 2021, 7:00 AM PDT

By Diana Ionescu @aworkoffiction


Seattle Transit

EQRoy / Shutterstock

Despite evidence that "any employer, big or small, stands to benefit from an improved transportation network that shortens commutes," transportation and access have remained low priorities in economic development strategies, writes David Zipper in Bloomberg CityLab. Rather than focusing on creating effective transit networks that benefit all users, "business attraction remains a linchpin of local economic development, a field whose emphasis on tax breaks, real estate development and job training can seem frozen in time."

But "[b]y encouraging businesses to concentrate in convenient locations — and by demanding that infrastructure investments reduce commute times — economic developers can position their regions for productivity gains that will lift employers and workers alike." The period of readjustment after the pandemic, argues Zipper, "is an ideal time to shake things up. The pandemic-triggered rise of teleworking is making companies reassess location decisions, which will force economic developers to update their toolkits. That creates a golden opportunity to modernize their field by finally embracing the crucial role that transportation plays in fostering economic growth."

"Evaluated through this lens, projects like a new bus rapid transit line or an office complex placed atop a rail station will be economic development catalysts if they can reduce the region’s commute burdens. Conversely, a business park or residential community situated on the urban periphery, far from transit and major highways, will lengthen average commutes and take a toll on employers’ competitiveness." Yet, because of the long-term nature of transit projects and the short-term nature of political terms, these "[m]isaligned incentives present an obstacle to elevating the role of transportation in local economic development." For now, "we continue to see high-profile and expensive corporate recruitment campaigns" that ignore the high cost of worker commutes.

Thursday, July 1, 2021 in Bloomberg CityLab

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I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

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