Encyclopedia of Opinion
Question
Will cities survive now that work from home is becoming permanent?
Position‹2 of 2
No, cities cannot survive permanent work from home
Argument1 of 2›

The commuter is what pays for the centre

The argument

Those who doubt cities can survive begin with how they are financed. A city centre is expensive to run, and the money has conventionally come from activity tied to people arriving each day: the value of commercial buildings, the fares paid to get to them, and the trade done by the businesses that serve the people inside them. Remove the arrivals and each of those sources contracts at once, while the obligations they funded continue. The argument is that these contractions interact rather than arriving separately. Office buildings that are half used are worth less, and where public revenue is tied to property values the budget for services falls with them. Transport systems designed around a daily peak lose the fares that peak generated but cannot shed much cost, since the network and its staff exist whether or not the trains are full. The response is usually to raise fares or cut services, which makes travelling in less attractive and reduces ridership again. Critics argue that this is the shape of the problem: each adjustment to lower demand gives people a further reason not to come. They add that the burden does not fall where the benefits of remote work do. The people who can work from home are generally those paid to do office work, while the cleaners, caterers, drivers, security staff and shop workers whose jobs existed to serve them cannot relocate their employment and simply lose it. On this account the city does not adapt so much as hollow, with the services and the public finances degrading together while the residents least able to leave are the ones left to use them.

Premises

[P1]A city centre is funded largely by activity tied to daily arrivals: the value of commercial buildings, the fares paid to reach them and the trade of businesses serving the people inside them. [P2] These contractions interact, since falling building values cut the public revenue tied to them while transport systems lose peak fares without shedding cost, and the fare rises or service cuts that follow reduce ridership again. [P3] The jobs that existed to serve commuters, in cleaning, catering, transport, security and retail, cannot be done remotely and are lost outright. [C] Therefore cities cannot survive permanent work from home, because what funded the centre was the commuter.

Counter-arguments

Critics of this view argue that it mistakes a fall in one revenue stream for the end of the city. Public finance is rearranged regularly, and a centre converted to housing produces residential revenue, residents who use services all week and demand for the trades that build and maintain homes. They add that the downward loop assumes nothing else changes, when reduced commuting also reduces the cost of running a peak-capacity network and frees road space and land. On the distributional point they agree that service workers bear real losses, but argue that this is an argument for how the transition is managed rather than evidence that the city itself cannot survive it.

Rejecting the premises

[Rejecting P1] Public finance rests on several bases and is rearranged regularly, and a centre converted to housing generates residential revenue and residents who use services all week. [Rejecting P2] The downward loop assumes nothing else adjusts, when reduced commuting also lowers the cost of running a peak-capacity network and frees road space and land for other uses. [Rejecting P3] Losses to service workers are a reason to manage the transition and compensate those affected, not evidence that the city cannot survive it. [Rejecting C] A fall in one revenue stream is being treated as the end of the city, when cities have repeatedly replaced the activity that funded them.