This book is on urban economics, the discipline that lies at the intersection of geography and economics. Urban economics explores the location decisions of utility-maximizing households and profit-maximizing firms, and it shows how these discisions cause the formation of cities of different size and shape. Part I of the book explains why cities exist and what causes them to grow or shrink. Part II examines the market forces that shape cities and the role of government in determining land-use patterns. Part III looks at the urban transporation system, exploring the pricing and design of public transit systems and the externalities associated with automobile use (congestion, environmental damage, collision). Part IV uses a model of the rational criminal to explore the causes of urban crime and the spatial consequences. Part V explains the unique features of the housing market and examines the effects of government housing policies. The final part of the book explains the rationale for our fragmented system of local government and explores the responses of local governments to intergovernmental grants and the responses of taxpayers to local taxes.
Part I Market Forces in The Development of Cities
Part II Land Rent and Land-Use Partterns
Part III Urban Transportation
Part IV Urban Crime
Part V Housing
Part VI Local Government