![]() ![]() The fi nal part of the book explains the rationale for our fragmented system of local government and explores the responses of local governments to intergovernmental grants and the responses of taxpayers to local taxes. ![]() Part V explains the unique features of the housing market and examines the effects of government housing policies. Part IV explores the economics of urban education and crime, two factors that play key roles in household location decisions. ![]() Part III looks at the urban transportation system, exploring the pricing and design of public transit systems and the externalities associated with automobile use (congestion, environmental damage, collisions). Part II examines the market forces that shape cities and the role of government in determining landuse patterns. Part I of the book explains why cities exist and what causes them to grow or shrink. ![]() Urban economics explores the location decisions of utility- maximizing households and profi t-maximizing fi rms, and it shows how these decisions cause the formation of cities of different size and shape. This book is on urban economics, the discipline that lies at the intersection of geography and economics. ![]()
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