The goal of this course is to apply economic principles to urban-scale problems and policy analysis. Upon completion, participants will be able to:

• Economists and Financial Analysts focusing on real estate or municipal finance
• Urban Planners and Policy Makers focused on economic development
• Real Estate Developers, Appraisers, and Investors
• Municipal Budget Analysts and Public Finance Officers
• Graduate Students in Economics, Planning, or Public Policy
• Consultants specializing in location analysis and impact assessment
• Transportation Planners analyzing cost-benefit ratios

• Quantitative Problem Sets and Economic Modeling Exercises
• Case Studies: Analyzing the economic impact of major urban projects
• Discussions on the efficiency vs. equity trade-off in urban policy
• Individual Exercises: Conducting a basic fiscal impact analysis
• Guest Lectures from Economists and Real Estate Professionals
• Software-based demonstrations of urban economic models

Unit 1: The Rationale for Cities

• Defining the concepts of localization and urbanization economies
• Alfred Marshall's industrial districts and agglomeration forces
• The role of specialized labor, inputs, and knowledge spillovers
• The trade-off between agglomeration benefits and congestion costs
• Central Place Theory and the hierarchy of urban centers
• The concept of the economic base and multiplier effects

• The Monocentric City Model (MCM) and its assumptions
• Deriving the bid-rent function for different land uses
• Understanding the spatial equilibrium of housing and commuting costs
• Critiques of the MCM and the rise of the polycentric city
• Analyzing the economics of urban sprawl and its costs
• The impact of technology on urban spatial structure (e.g., telecommuting)

Unit 2: Urban Land and Housing Markets

• Market failures in urban land use (externalities, public goods)
• The economics of land use regulation (e.g., zoning, growth controls)
• Valuation methods for urban land and real estate appraisal
• Analyzing the economic impact of historic preservation and conservation
• The concept of land banking and public land management
• The role of property taxation in influencing land use decisions

• The demand and supply of housing and market equilibrium
• Analyzing housing price bubbles and market volatility
• The economics of filtering and housing depreciation
• The rationale and impact of housing subsidies and public housing
• Inclusionary zoning and its effect on housing supply and price
• Economic analysis of rental market controls (rent stabilization)

Unit 3: Urban Transportation Economics

• The economics of congestion and the optimal congestion toll
• Cost-benefit analysis of transportation infrastructure projects
• Economic rationale for public transit subsidies
• Analyzing the impact of parking policy on traffic and land use
• Financing transportation: user fees, taxes, and private investment
• The economic effects of high-speed rail and intercity connectivity

• The value of travel time savings and its measurement
• The impact of accessibility on property values (Hedonic Pricing)
• Economic analysis of Transit-Oriented Development (TOD)
• The shift to shared mobility and its economic implications
• Evaluating the costs and benefits of active transportation infrastructure
• The economic geography of logistics and freight movement

Unit 4: Local Public Finance and Policy

• The optimal structure of local taxation (property, sales, income)
• Tiebout Hypothesis and the role of local jurisdiction competition
• The economics of intergovernmental grants and revenue sharing
• Analysis of municipal debt, bonds, and capital improvement funding
• Cost-benefit analysis for public services provision (e.g., police, fire)
• Fiscal impact analysis of new development projects

• The economic rationale for government intervention (market failure)
• Evaluation of economic incentives (tax abatements, TIF)
• The economics of enterprise zones and place-based policies
• Analyzing cluster development and industry specialization strategies
• The role of universities and anchor institutions in local economic growth
• Measuring the effectiveness and return on investment of economic development programs

Unit 5: Urban Problems and Equity

• Economic theories of urban poverty and its spatial concentration
• Analyzing the intergenerational transmission of poverty
• The economics of minimum wage and job training programs in cities
• Spatial mismatch hypothesis and its role in unemployment
• Economic analysis of anti-discrimination policies in housing and labor
• The role of income inequality in affecting urban quality of life

• The economic costs of air and water pollution in urban areas
• Coase Theorem and the bargaining solution to externalities
• The economics of noise, crime, and public safety
• Using regulatory and market-based solutions (e.g., cap-and-trade)
• Economic analysis of congestion and crime reduction strategies
• Valuing non-market goods: the economic value of parks and open space