Richard Florida recently gave a talk at the Rotman School as part of Toronto's “Big City, Big Ideas” lecture series. It was called: Why Creativity Is the New Economy. You can watch it here via Rotman. It’s about an hour long.
If you’re familiar with the work of Richard Florida, you’ll find much of what he talks about familiar. But there is one point that I think is absolutely worth reiterating again, and again: The new economic unit of our time is the city. It used to be nations but, in today’s world, cities trump nations, provinces and states in terms economic importance.
Florida has long stressed this point in his work and I think he’s absolutely right. The problem, however, is that our governance structures are ill-suited to deal with this shift. There are too many layers of government and our cities do not have nearly enough autonomy.
Toronto is also facing a profound leadership deficit at the municipal level, to say the least (See Rob Ford). This cannot continue. Strong municipal leaders are critical to our sustained global economic competitiveness. It’s every global city for themselves and I, for one, want to win.
To give you an example of the dramatic rise of cities, take a look at this recent TechCrunch article on billion dollar startups. If you take a look at learning number 9, you’ll see an incredible interesting fact: San Francisco–not “the Valley”–is now home to the most billion dollar startups. Startups are eschewing the suburbs for the city.
I’ve written a lot on this trend, but I still don’t think that our governments have truly woken up to the fact that, in the new economy, our cities are our most important asset.
A couple of months ago I had coffee with an urban planner who had recently relocated from the Bay Area back to Toronto. One of the interesting things that came up during our conversation - that I hadn’t really given a lot of thought to before - was how corporate shuttle buses (from the likes of Apple, Google, Facebook and so on) could be impacting cities.
On the surface, they seem fairly benign. Most of the big tech companies are located outside of San Francisco, but young smart people today like living in cities. So let’s run shuttles buses that take people back and forth. Employees get to live the life they want and employers get broader access to human capital. It seems like a win-win.
But in reality, some argue that these shuttles buses reinforce a powerful trend already plaguing the region: The alienation of non-tech people. George Packer of the New Yorker called the buses "a vivid emblem of the tech boom’s stratifying effect in the Bay Area."
What I wonder though is to what extent these buses are not just an emblem, but an actual driver of stratification and other negative outcomes. The first concern that comes to my mind is the possibility for this to lead to infrastructure disinvestment. Already there seems to be a philosophical divide around transit (see BART strike).
Wired just published an interesting set of maps that try and map “Silicon Valley’s gentrification problem through corporate shuttle routes." They’re worth checking out. It’s also interesting to see how they collected the data; it was a fairly messy process.