Question

Everything costs money. Give an example of how economic considerations play a role in urban planning. Would the plan be equally successful without the economic considerations in the planning process? Why or why not?

Answer 1

Q) Everything costs money. Give an example of how economic considerations play a role in urban planning.

Introduction

In macro-economic urban planning is a very important element of government policy and organizations must be aware of this. Each urban plan implementation requires investment of money which has alternative uses also.

This translates into the fact that economic considerations require careful analysis before a policy decision on urban planning is undertaken.

In the case study above, the notion that economic consideration is important for urban planning and also, that "Everything Costs Money" is equally important for a government while taking a decision.

Each urban planning decision requires huge capital layout which may or may not give returns in the short run. Therefore the fact that everything costs money and that one must carefully analyses the options available is valid.

Example:-

For the purpose of this case study, understanding the impact of a simple decision like the government spending its funds on creating an industry or investing in education can be analyzed.

Each decision requires urban planning and expenditure and because of the alternatives available the government needs to select the most optimum choice at a given point of time.

It is important to note here, that these decisions tend to be relative in nature, meaning that what maybe correct at one point of time might not reflect on others and can change based on the location also.

Considerations could be increasing the level of education vs increasing commercial activity in the state respectively.

Urban planning requires careful assessment of all options available and selecting the best course of action for the economy, state or district respectively.

Would the plan be equally successful without the economic considerations in the planning process? Why or why not?

In urban planning, without considering the economic implications of any decision most governments are likely to fail and occur expenses that do not give considerable returns in the future.

Unless the best option is selected by analyzing the options which are available from every economic view point such as capital expenditure involved, benefit it will provide to the society and alternatives available, it is most likely that the decision will make unnecessary expenditure without any fruits being realized.

Some urban planning decisions have failed, primarily not because their concepts were wrong, but the fact that they have failed to realize economic considerations and have overspent money on a cause that doesn’t require immediate attention respectively.

Therefore, without justifying economic consideration the planning process is most likely to fail since it does not consider other variables respectively.

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