Moving from Balkanized to Globalized in Cleveland

AaronRenn_350By Aaron Renn

“Cleveland didn’t decline because industry left. Cleveland didn’t decline because people left. Vacant houses are not Cleveland’s cross to bear. Cleveland’s ultimate problem is that it is cut off from the global flow of people and ideas. Cleveland needs to be more tapped into the world.”

Jim Russell and Richey Piiparinen have released a new whitepaper on Cleveland that should be read by anyone looking to reboot the economies of struggling post-industrial cities. Released under the auspices of Ohio City, Inc., “From Balkanized Cleveland to Global Cleveland: A Theory of Change For Legacy Cities” looks at how a lack of population churn has stunted Cleveland’s ability to connect to the global economy.

This paper puts a different spin on talent and the knowledge economy. “Knowledge” is not just facts acquired through education or work experience. It also includes the set of personal relationships and knowledge of other places and social networks that we all carry to some extent. Global cities not only score well on traditional knowledge measures, but because they are destinations for migrants, they excel in this more broader notion as well.

Cleveland is not a global city. In fact, in his book Caught in the Middle, Richard Longworth said, “When I went to Cleveland I found not alarm but complacency. In a city that is being destroyed by global forces…I found almost nobody willing to actually talk about globalization or global challenges…In all my travels through the Midwest, Cleveland was the only place, big or small, that seemed heedless of the global challenge.”

It is important to note how this ‘[population] churn’ helps cities. Knowledge-based economies run on the quality of ideas. Ideas are not only a function of intelligence or education, but also the depth of information a person, or a city, receives. Historically, a lack of information – via a lack of demographic inflow – has ‘Balkanized’ social networks in Rust Belt cities. This has led to a culture of parochialism, which has hurt economic development.

—From the report “From Balkanized Cleveland to Global Cleveland”

Cleveland_Ohio_aerial_view
Cleveland, Ohio

Part of that [challenge] comes from a lack of migrants coming in to bring global knowledge and connectivity to global networks. Using IRS data from Telestrian, Russell and Piiparinen note that Cleveland actually only ranks 34th in America in its outflow of people, versus being the 28th largest metropolitan area. The city is actually doing a better than average job of retention.

The problem is that Cleveland ranks 47th in inflow of people. Attraction is very weak. Hence population decline, but also an inbred, closed society.

About 75% of the people in metro Cleveland were born in Ohio, versus 30-60% in other, more globalized cities. Among large metros in the US, Cleveland ranks 6th in its percentage of the population living in the state they were born. (In fairness, this in part derives from a low foreign born percentage and the fact that the Cleveland region isn’t a multi-state metro).

I did my own analysis to take a look at the in-migration shed of the city. Cuyahoga County (the central county of the Cleveland region) had reported in-migration from 320 counties during the 2000s, with 228 of these sending at least 100 people to Cleveland. I decided to contrast with better preforming Columbus. There, the core county of Franklin drew people from 486 counties, with 335 of them having at least 100 people. Now Columbus is a huge university town, so I also looked at Indianapolis. Indy’s central county of Marion, which is significantly smaller than Cuyahoga in population, drew from 381 counties, including 273 of 100 or more people.

Clearly, Cleveland is drawing fewer people from the outside world, and drawing from fewer places, than cities that are performing better, though one could quibble with the causality arrow here.

As a result, we see what is frequently true in such places. Cleveland’s social and power networks have balkanized. They don’t receive much new information or many new people, and what they do receive they don’t integrate well. Hence what Longworth observed. Cleveland needs much more demographic churn to open up these social networks and generate more global connectivity.

Read the rest of the article at Urbanophile »

Aaron Renn is the creator of The Urbanophile, one of the top urban policy blogs providing in-depth, non-partisan analysis. Renn is also a frequent speaker and writer whose work has been featured in Forbes, the New York Times, and City Journal. He is also the founder and CEO of Telestrian. Follow Aaron on Twitter hereThis article was reposted with permission from the author and website The Urbanophile.

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