tag:blogger.com,1999:blog-2498525082522582900.post671732884062840413..comments2024-03-22T16:02:08.213-05:00Comments on The Wheel: Market FailureMark Stegerhttp://www.blogger.com/profile/02376182294736839659noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-2498525082522582900.post-28682829582934296382012-04-16T10:57:44.816-05:002012-04-16T10:57:44.816-05:00Zoning is a good example of correcting for market ...Zoning is a good example of correcting for market failure. Spillover effects (usually of the bad variety) lead cities to adopt zoning laws. Over time, changes in market conditions result in the zoning laws becoming outdated and failing to achieve the corrections to market failure they were originally designed for. That leads to a need for a city to continually evolve its zoning laws. This blog has highlighted local examples where that evolution is on the mark and where it has come up short.Mark Stegerhttps://www.blogger.com/profile/02376182294736839659noreply@blogger.comtag:blogger.com,1999:blog-2498525082522582900.post-2355142653862295122012-04-16T10:50:26.224-05:002012-04-16T10:50:26.224-05:00Home improvement is a classic source of market fai...Home improvement is a classic source of market failure of the kind that insufficiently recognizes positive spillover effects. Improve your own house and all your neighbors benefit (a little) in higher resale value of their own homes. But the homeowner that does the renovations assumes all the cost. Richardson's "Home Improvement Incentive Program" addresses that market failure.Mark Stegerhttps://www.blogger.com/profile/02376182294736839659noreply@blogger.comtag:blogger.com,1999:blog-2498525082522582900.post-49372495414149887292012-04-16T09:52:21.058-05:002012-04-16T09:52:21.058-05:00David,
Almost any Richardson homeowner can get a ...David,<br /><br />Almost any Richardson homeowner can get a 380 tax abatement with the City of Richardson.<br /><br />It is called the "Home Improvement Incentive Program." Yep. That is right. The Home Improvement Incentive Program is a 380 program.<br /><br />So any homeowner that spends the minimum and meets the other conditions can get an economic development deal with the city. Richardson is the only city around, that I know of, that allows citizens to participate in economic development directly.<br /><br />Mark,<br /><br />I think "failure" is the wrong word. I see these phenomenon as natural outcomes of systems. For example, with pollution some may see it as a trade off and it is a matter of deciding whether that trade off is worth it. Whether or not people realize their contributions is another matter and not unrelated. Some may see bankruptcy of huge corporations (or even small ones) and the subsequent hardship as preferable to too much control. I am not saying I hold those values but I am just saying that this view exists.<br /><br />Your question about Richardson and local issues is easy to answer. Typical suburban decline is market driven and cities do things to try to intervene. I would think that the six study zones in the comprehensive plan are a response to the fact that the land use in those zones does not line up with changes in the market that have occurred in subsequent years. That is to say, planning and land use must respond to market changes to make parcels in those zones more viable.<br /><br />So I don't think "failure" is the right word. There are reactions and consequences to human systems and how they work. That is true for all human systems from bridge clubs to corporations to rock bands to families to sports teams.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-2498525082522582900.post-5207491558628377282012-04-16T09:05:52.061-05:002012-04-16T09:05:52.061-05:00380 Agreements and Abatement for a special few.380 Agreements and Abatement for a special few.dc-tmhttps://www.blogger.com/profile/14175240802333780232noreply@blogger.com