Moving on to just a few small items this week:
- Great piece from Alain Bertaud in the MIT Press Reader: Do We Really Want Our Mayors to Have a Vision? Mayors and their municipal staff should not be considered visionaries, but a coordinated team of managers and janitors. Key excerpts:
"An unfortunate trend has developed over the past quarter-century: Many municipalities have begun describing their development plans as a “vision,” a word once reserved for spiritual gurus and artists. Calling a simple municipal action and investment program — such as collecting tolls on bridges — a “vision” is symptomatic of the grandiose misunderstanding that municipalities have concerning their role. A city, after all, is entirely created by its citizens’ initiatives. These citizens are required to act within a set of “good neighbor” rules, and to be supported in their endeavors by a network of physical and social infrastructure managed by a mayor and a city council. Mayors and their municipal staff, including urban planners and economists, should be considered not visionaries or rulers, then, but a well-coordinated team (one hopes) of competent managers and janitors.
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Visionary leadership implies a top-down approach, in other words, but a city is mostly created from the bottom up. A visionary mayor may feel compelled to impose her unique insights on the life of her Philistine citizens.
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To be sure, a top-down approach is required to design infrastructure and services, but only as they are needed to support citizens’ activities. The support role involved in this top-down design is not trivial and requires good data and outstanding technical and financial skills, but a personal vision is not a requirement. It might rather be a hindrance.
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They did not need vision, but something much less romantic: extreme competence."
- Texas ranked as the #1 food state ahead of California
- Eclectic Capital: The Case for Texas (venture capital). Very good analysis. Even with Austin, we're really punching below our weight vs. other states.
- Kotkin and Cox at New Geography: California's Inept Central Planners
- Great new report from Aaron Renn at AEI on Culture and Dynamism in Cities. I've always felt Houston has done pretty well on most of these, although education is certainly an ongoing weak spot.
"It’s a look at the role of the culture of cities in economic dynamism and resiliency. I examine a few case studies, and from these try to draw out some cultural traits that seem to be relevant to success, notably an open social structure, invested leadership and institution building by civic elites, and a high value placed on education."Interested to hear your thoughts in the comments on how Houston does on those indicators?...
Closed vs Open Networks
ReplyDeleteThere is a mythology regarding venture capital which leads people to say, "We need more venture capital here." This mythology is baseless. Venture capital produces very poor ROI and few jobs for the economy compared to the ordinary capital markets.
ReplyDeleteTotal capital spending in the USA is about 1.9 Trillion dollars per year. That is 1,900,000,000,000. Venture capital is about 110 Billion in the best of years. Venture capital represents less than six percent of total capital investment. 75 percent of venture cap startups fail. That means 82 million dollars per annum just evaporates. Statistically, venture capital is about as successful an investment tool as lotto scratch offs. By analogy, saying we need more venture capital is kinda like saying we need to be playing more scratch offs.