Economic dimension of urban planning

Economic dimension of urban planning

The economic dimension is one of the core dimensions of urban planning. It deals with the economic functioning/functionality of urban object and the urban environment. For this purpose, urban planners employ several different economic tools, which facilitate the preparation of a robust urban plan that encourages economic development (impact) in a way that is conducive to and compatible with sustainability objectives. Put differently, they influence the way planned urban objects and urban environments are going to be shaped.

Increasing importance of the economic theme in urban planning

The importance of the economic theme within the urban planning system is increasing because of two main reasons:

1. An increasing amount of urban planners believe in the potential contribution of the planning system to maximize the net welfare of society with the help of appropriate policy measures that influence the delivery of a more attractive, competitive and successful urban area.
2. The increasing population in cities places more and more pressure for development of land and has lead to the consolidation of the urban core. And, although this has led to a strengthening of the economic and social functions of the cities and surrounding areas, urban planners are at the same time forced to recognize the increasing threats caused by both natural and human causes that can have a devastating impact on the economic and social functioning of the urban area.

The economic dimension of security aspects in urban planning

The economic aspect of security in an urban planning context is relevant for urban planners in three major ways:

1. First of all, security threats (crime & terrorism) lead to (negative) direct and indirect economic effects on a local, regional and national level.
2. On top of that, security measures lead to investment costs and to secondary economic effects (e.g, the longer waiting lines at airports due to the upgraded security measures since 9/11). These effects are called: "economic effects of security measures".
3. Finally, security measures influence the behaviour of criminals and terrorists due to the process of crime displacement and crime diffusion (the economics of criminal and terrorist behaviour).

Related subjects

• Urban planning
• Economic impact of urban planning
• Dimensions involved in urban planning

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