Decentralization and the Decline of the Central City

The fiscal crisis of particular central cities has been primarily caused by social and economic decentralization within metropolitan regions. This hypothesis is examined through a case study of the Bridgeport, Connecticut metropolitan region. Middle and upper income groups have moved from the central city of Bridgeport to its suburbs while the poor remain. Business and industry have also decentralized. These factors weaken the capacity of the central city to generate sufficient revenue from its declining share of the region's taxable resources. The central city must fund a wide range of services and faces, as all local governments do, increased costs. Because of these fundamental social and economic changes, the central city cannot meet its service commitments. Unless the existing system of public finance is altered, continued decline is inevitable

Business · Central city · Decentralization · Economic growth · Economic policy · Economics · Geography · Market economy · Metropolitan area · Public finance · Regional science · Revenue · Sewerage · Taxable income · Finance · Fiscal Policies and Political Economy · Fiscal Policy and Economic Growth · Local Government Finance and Decentralization