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Large cities produce more output per capita than small cities. This higher productivity may occur because more talented individuals sort into large cities, because large cities select more productive entrepreneurs and firms, or because of agglomeration economies. We develop a model of systems of cities that combines all three elements and suggests interesting complementarities between them. The model can replicate stylized facts about sorting, agglomeration, and selection in cities. It also generates Zipf’s law for cities under empirically plausible parameter values. Finally, it provides a useful framework within which to reinterpret extant empirical evidence.
City planning is a means for determining policy, appropriate policy in a democracy is determined through political debate. The right course of action is always a matter of choice, never of fact. Planners should engage in the political process as advocates of the interests of government and other groups. Intelligent choice about public policy would be aided if different political, social, and economic interests produced city plans. Plural plans rather than a single agency plan should be presented to the public. Politicizing the planning process requires that the planning function be located in either or both the executive and legislative branches and the scope of planning be broadened to include all areas of interest to the public.
The Henry George Theorem (HGT) states that, in first-best economies, the fiscal surplus of a city government that finances the Pigouvian subsidies for agglomeration externalities and the costs of local public goods by a 100% tax on land is zero at optimal city sizes. We extend the HGT to distorted economies where product differentiation and increasing returns are the sources of agglomeration economies and city governments levy property taxes. Without relying on specific functional forms, we derive a second-best HGT that relates the fiscal surplus to the excess burden expressed as an extended Harberger formula.
This International Conference "Positioning Planning in the Global Crises" aims to bring together researchers, scientists, practicioners and students to exchange and share their experiences, new ideas, and research results about all aspects of Urban, Regional Planning, and discuss the practical challenges encountered and the solutions adopted.
In 2016 passenger service on the Moscow Central Circle (MCC, a circular urban rail line in Moscow) was reintroduced after its closure in 1934. The launch of this line allowed us to study the effects of a transport infrastructure project using observed rather than model-forecasted data.
We collected empirical data on changes in real estate values, land use, transportation flows and travel behaviour as consequences of integration of the new rail line into existing urban transit system.
The research project consists of several parts. First, we studied residential rent rates. The rent growth effect was most substantial in the residential areas around Moscow Central Circle stations without access to existing metro stations.
Second, we used the Node-Place model to evaluate the magnitude of the potential (and officially planned) land use changes in the long-run, i.e. the increase in the place value. We revealed that the long-term MCC impact is modest, because the opportunities for land use change around the MCC stations are currently limited and therefore the increased node value is not accompanied by the proportional change of the place value.
Third, we used Moscow Metro origin-destination matrices for typical working days in March 2016 and March 2017 to evaluate the impact of the MCC on the redistribution of passenger traffic volumes. We observed an insignificant decline in load level of Metro Circle line and radial lines and interchanges in the city centre.
Finally, we studied changes in travel behaviour. The majority of respondents do not use the MCC to reach locations near new stations but use it mostly to optimise their existing routes, which also supports the findings of the relatively low place value of the territories around the new stations.
Repeating the same measurements regularly will allow us to monitor the changes in the use of the MCC and track its performance and its effects over time. This paper covers the short-term effects that occurred in the first 12 months of the MCC operation.
Industrialisation and social transformations changed the landscapes of the Soviet Arctic and stimulated discussions about the models of its domestication. Numerous industrial towns in the Soviet Far North in the 1930s were established next to Gulag labour camps. The attempt of technical, social and visual re-conceptualisation of urban space in the Soviet Arctic related to several reforms of the post-Stalin period. This chapter analyses how Leningrad architects since the 1950s used modernist urban projects for the realisation of their professional and personal ambitions trying to create a new conception of a “normal city” in extreme climate. While most were not implemented, their appearance shows the shift of the attitude toward the North in the USSR as well as the controversial changes of experts’ position.
The paper examines the structure, governance, and balance sheets of state-controlled banks in Russia, which accounted for over 55 percent of the total assets in the country's banking system in early 2012. The author offers a credible estimate of the size of the country's state banking sector by including banks that are indirectly owned by public organizations. Contrary to some predictions based on the theoretical literature on economic transition, he explains the relatively high profitability and efficiency of Russian state-controlled banks by pointing to their competitive position in such functions as acquisition and disposal of assets on behalf of the government. Also suggested in the paper is a different way of looking at market concentration in Russia (by consolidating the market shares of core state-controlled banks), which produces a picture of a more concentrated market than officially reported. Lastly, one of the author's interesting conclusions is that China provides a better benchmark than the formerly centrally planned economies of Central and Eastern Europe by which to assess the viability of state ownership of banks in Russia and to evaluate the country's banking sector.
The paper examines the principles for the supervision of financial conglomerates proposed by BCBS in the consultative document published in December 2011. Moreover, the article proposes a number of suggestions worked out by the authors within the HSE research team.
We address the external effects on public sector efficiency measures acquired using Data Envelopment Analysis. We use the health care system in Russian regions in 2011 to evaluate modern approaches to accounting for external effects. We propose a promising method of correcting DEA efficiency measures. Despite the multiple advantages DEA offers, the usage of this approach carries with it a number of methodological difficulties. Accounting for multiple factors of efficiency calls for more complex methods, among which the most promising are DMU clustering and calculating local production possibility frontiers. Using regression models for estimate correction requires further study due to possible systematic errors during estimation. A mixture of data correction and DMU clustering together with multi-stage DEA seems most promising at the moment. Analyzing several stages of transforming society’s resources into social welfare will allow for picking out the weak points in a state agency’s work.