A severe recession in 1973 to 1975 followed by a weak expansion
from 1975 to 1979 and another recession in 1979 through 1983 left
many metropolitan areas with short falls in tax revenues and rising
social costs. The effects of the weak national economy during this
period were felt particularly severely in the central cities, which
were already experiencing the stresses of secular declines in
employment and the number of middle income residents. If the
cyclical instability of the last decade is a forerunner of the
remainder of the 1980s, it is clear that an understanding of
central city and suburban economies requires a better understanding
of the interaction between the business cycle and long run
metropolitan growth. The purpose of this paper is to begin to fill
this gap in our knowledge.In particular, this paper addresses the
relationship between a metropolitan economy's long run growth and
its response to the national business cycle.
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