Coping with Adversity

Why do some metropolitan economies bounce back from sudden shocks and long-running decline while others stay stuck? Harold Wolman takes up this question and asks which public policies help a region recover. Covering every U.S. metropolitan economy from 1978 to 2014, the study uses a broad range of analytical methods. It then examines six metropolitan areas in depth: Charlotte, North Carolina, Seattle, Washington, and Grand Forks, North Dakota, which show resilience, and Cleveland, Ohio, Hartford, Connecticut, and Detroit, Michigan, which do not. For each, the case studies draw on employment, output and population data alongside a record of the policies and actions taken. The conclusion is that policymakers can do little to blunt a shock in the short run, since most regions recover on their own within a fairly short time. Yet many regions have climbed out of prolonged downturns, and certain policies can assist that process. The book is aimed at public officials, urban planners and economic developers working on local and regional growth.