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http://www.citylab.com/work/2016/10/the-seven-types-of-global-cities-brookings/502994/

http://www.pbs.org/newshour/bb/will-department-justices-crackdown-credit-suisse-lead-bank-prosecutions/

Services

Key Issue 1: Where Did Services Originate?

Key Issue 2: Where Are Contemporary Services Located?

In Early Rural Settlements

In Early Urban Settlements

Three Types of Services

Tertiary/Service Sector = 85% of jobs in USA

Consumer Services = 44%

Business Services = 24%

Public Services = 17%

Earliest Public Services

  • Soldiers for defense
  • Walls for Protection

Today Global Pop is Equally Divided

  • 2008 may have been a watershed

2/3 of teachers

In Urban Settlements

In Rural Settlements

Earliest Consumer Services

  • Burial
  • Religious Services
  • Household Servics as wome dominated "Home and Hearth"
  • Manufacturing of tools, cloths, containers, fuel, weapons, etc.
  • followed by
  • schools, libraries, theatres, museums,

Education = 10%

Services in Ancient Cities (Fertile Crescent, Egypt, China, Indus Valley)

  • Ur (Mesopotamia) -
  • Earliest example of urban planning
  • Greek City States (Knossos, Mycenae, Troy, Athens, Alexandrea)
  • Developement Western Civilization (Culture, Philosophy, etc)
  • Earliest true "urban" centers.
  • Rome
  • Cities within the empire were modeled in Rome's image
  • Centers of administration, military, and other public and consumer services for the province.
  • Romans were masters of administration (coins, laws, taxes, defense, etc) and public works projects (roads, aqueducts, etc.)
  • When Rome fell, urban "civilized" life declined sharply (Dark Ages)

Services in Medieval Cities

  • Expanding Trade Networks propted urban revival after 1000A.D. in Europe.
  • Revived and espanded road, river, and sea transportation networks. (Hanseatic League, N. Italy)
  • Walled Cities, Dense Urban Architecture, Central Public Square.

1/3 of teachers

Earliest Business Services

  • Settlements: regulated terms of transactions, set fair prices, kept accurage records, created and maintained a currency system.

Clustered Rural Settlement

  • Hamlet or Village
  • Circular Pattern vs. Linear Pattern
  • New England
  • Central Commons
  • Match whole group settlement patterns and group land grants
  • Useful for defense (Indians) and the reinforcing of common cultural/religious values
  • Pop Growth = "new" settlements

Dispersed Rural Settlements

  • Common in Mid Atlantic, Midwest, and Southern American Colonies
  • heterogeneous groups
  • individual arrival and settlement
  • private purchases of land
  • Contemporary
  • Machinery makes clustered patterns inefficient
  • New England changes in mid 1700's.
  • Population growth used up all avaliable land from which to establish new villages
  • Weakened cultural bonds

Louis Wirth (1930')

  • Urban dweller follows a different way of life
  • Size (Many daily interactions "anonymous" or "contractual")
  • Population Density (Job Specialization/Professions & Hightened Competitiveness)
  • Heterogeneous Population
  • More variety of people and always a group of like minded individuals out there
  • Less Social Pressure to Conform ? More freedome to experiment with professions, entertainment, or personal beliefs
  • Irony = with more freedom/independence in a city also comes an increases sense of isolation. A greater feeling that others are indifferent or reserved
  • Wirth's distinctions may hold true for LDCs today but for MDCs almost everyone is "urban" minded.

Urbanization

  • large % of people in cities reflects a country's level of developement.
  • MDCs 3/4th urban vs LDCs 2/5th urban - Latin America is the exception
  • Do MDCs have room for further urbanization?
  • Having largest world cities does not make a nation an MDC, may just reflect total population
  • 8 of 10 of the largest cities in the world are in LDCs - Buenos Aires, Delhi, Dhaka, Calcutta, Mexico City, Mumbai, Sao Paulo, and Shanghai. New York and Tokyo are in the MDCs.

Key Issue 4: Why Do Business Services Cluster in Large Settlements?

Key Issue 3: Why Are Consumer Services Distributed in a Regular Pattern?

Hierarchy of Business Services

Economic Base of Settlements

Central Place Theory

Market-Area Analysis

Heirarchy of Services and Settlements

Business Services in LDC's (peripheral regions)

How to identify the most profitable location for a consumer service

  • Central Place (node) with Market Area (hinterland) surrounding it.
  • Assumes people prefer the nearest location for services
  • In the continental 48 there are 171 functional regions based on commuting hubs = "Daily urban system"

Nesting Pattern =

  • Uses central place theory to map out hexagonal market areas of various sizes.
  • this pattern often reflect real world distribution

Market Area must consider...

  • Range (max distance people are willing to travel) - perhaps best reflect in time traveled by car - may not be a circle
  • Threshold (minimum demand required to be profitable)
  • consider relevant demographic info of customers
  • Age, Gender, Wealth, Family Structure (single, married, children)

Profitability

  • 1) Compute the range
  • 2) Compute the threshold
  • 3) Draw the Market Area
  • irregular shaped for variation in travel time
  • account for competitors = larger range or threshold may be required

Optimal Location = minimizes distance for the largest number of people

  • Linear Settlment = "gravity model" = best location subject to size and distance
  • Nonlinear Settlement = apply "gravity model" to multiple avaliable locations

“City Centered” (TIME, Oct 21, 2010 ) by Bruce Katz. - Play Video Clip

Basic Industries = outside city consumption - key to expanding a cities economy

Non-Basic Industries = domestic consumption (consumer products)

Specialization of Cities

  • 1) Durable Manufacturing
  • 2) Nondurable Manufacturing
  • 3) Services (attractive to "rust belt" cities)
  • Business Services
  • Consumer Services
  • Public Services
  • 4) Primary Sector (Mining)

Distribution of Talent

  • US competitive advantage? - willingness to relocate for work
  • Primary pull factor to a city = work or culture
  • High Cultural Diversity tends toward Higher Talent
  • "Talented" are the most innovative and most likely to begin new businesses

Rank-Size Distribution of Settlements

  • Ranking cities from largest to smallest in terms of population produces a regular pattern.
  • Rank-Size Rule
  • a country's nth-largest settlement is 1/nth the population of the largest settlement.
  • Plot out on line-graph. USA and a handful of others follows this rule.
  • Absence of Rank-Size distribution may mean, especially in an LDC, that the country lacks the wealth and/or ability to provide goods and services to everyone.
  • Primate City Rule
  • Country's largest city has more than twice as many people as the next largest.
  • Primate Cities include (Copehagen, London, Bucharest)
  • Periodic Market
  • Dominant in LDC's - purchasing power too low to support full time market
  • In MDC's - urban farmers markets

Offshore Financial Services

  • Typically Islands and Microstates
  • Tax havens and/or shelters
  • Caymans, U.S. Virgin Islands, Bahamas, Turks & Caicos, Seychelles, Manaco, Liechtenstein, Panama, Bahrain, Liberia.

Back-office Functions = "Business Process Outsourcing"

  • Routine clerical activities
  • Data Entry, Insurance and Payment Processing, Billing, Technical Inquiry
  • No longer in the same facility as management
  • Rent Costs
  • Improved Tech (Telecommunications)
  • Many LDCs offer
  • Low Wages
  • English speakers exposed to English/American cultural norms and preferences

World Cities

  • Centers of finance, business, communication, law, and entertainment/tourism.
  • Growing in importance, not shrinking
  • Dominant World Cities
  • New York, London, Tokyo
  • largest cities in MDC regions
  • center of the most important stock markets
  • centers of finance and business
  • Major World Cities
  • Chicago, LA, Washington, Brussels, Frankfurt, Paris, Sao Paulo, and Singapore
  • Secondary World Cities

Command and Control Centers

  • regional - subregional

Specialized Producer-Service Centers

  • R&D or Industrial Specialization
  • Detroit (Auto)
  • Pittsburgh (Steel)
  • Rochester (Office Equipment)
  • San Jose (Semiconductors)
  • Centers of Gov and Education
  • Albany, Madison, Raleigh-Durham

Dependent Centers

  • Resort or Retirement Centers (Sunbelt)
  • Manufacturing Centers (Rustbelt)
  • Military Centers (South and West)
  • Mining Centers
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