America's Municipal Meltdown

Towns and small cities dependent on one or two industries are reeling in the face of the economic downturn and major budget cuts. Can the nation's large cities be far behind?

2 minute read

February 24, 2009, 5:00 AM PST

By Michael Dudley


"[T]owns and small cities across the U.S...have proven particularly vulnerable to tough times simply because their economies relied on just a few major employers, or a single industry, or even a single company that has gone under or cut back drastically. [They] are feeling the pain in ways most of the country isn't -- yet; and even worse, from the out-of-work to local officials, no one knows how to stop the bleeding.

A few months ago, stories of economically-troubled towns were strictly local fare. Now, more and more of them are rising to regional or national attention. Most of America's desperate towns and small cities, however, still remain relatively anonymous. [But] towns and cities in surprising numbers...are now hurt or possibly, in some cases, even dying -- with little in the way of hope or help in sight. Under the circumstances, they should no longer be treated as individual stories, locally or nationally. They represent a pattern, and putting even a small number of their stories together casts a light on a disturbing countrywide trend that may determine the tomorrows of a remarkable number of Americans.

It isn't surprising that towns which relied heavily on the collapsing auto industry and the building trades are going belly-up first, but what about the rest of America's towns and even big cities? The same economic forces are battering them, and while they may have been able to withstand immediate collapse, there's no guarantee that town after town won't be deep in the red, drowning in joblessness, and facing catastrophe as the American depression drags on."

Sunday, February 22, 2009 in TomDispatch

Young Professional

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 and Environmental 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 and Environmental Planner

Get top-rated, practical training for planners

Passengers board an Amtrak train under a cloudy sky.

Amtrak, CN end decades-long dispute with eight-year agreement

The new operating agreement establishes an updated framework for the companies to work together, including processes to resolve disputes.

September 18, 2026 - Mass Transit

The Gross Reservoir, a large body of water surrounded by trees and mountains.

Judges permit Denver to divert 77,000 acre feet from the Colorado River for reservoir expansion

Overuse and climate change have caused the Colorado River’s water levels to plummet.

September 18, 2026 - Inside Climate News

A coal power plant in Iowa billows smoke into the air.

Nation's most wind-powered state turns to coal as data centers increase energy demand

For the first time in decades, Iowa has increased its generation of coal power.

September 17, 2026 - Inside Climate News

A crowd of people boarding Boston's green line in an underground subway station.

Boston has spent millions making the Green Line more accessible — and there’s no end in sight

While the city has invested millions into expanding and adding platforms to the Green Line to make it more accessible, new train cars set to arrive next year will be too tall for disabled passengers to board without raising the current platforms.

September 22 - Boston Globe

Railroad tracks in Idaho passing a home by a river.

Idaho may see an 18% drop in federal surface transit funding — the largest estimated cut in the US

Transit systems in rural communities are much more reliant on federal funding to provide their services.

September 22 - Grist

A Florida family with their belongings in a wagon walks past a destroyed storm after a hurricane.

How ‘post-disaster gentrification’ alters neighborhoods after natural calamities

After hurricanes, fires or other calamities, the original residents of a community are often replaced by younger, wealthier residents.

September 22 - Inside Climate News