Quote:
Originally Posted by econgrad
Roads and Freeways are used by all, they are not part of the suburbs nor any subsidy for the suburbs. suburbs are not subsidized like you and itmotorsport think, hence why you cannot come out with examples.
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I'm not sure what to say about this except "you're wrong." Highway and freeway expansion are the major reason why our suburbs look the way I do: far-out suburbs and exoburbs would not be possible if not for the highway system. I cited it as an example of a subsidy to suburbs that you personally support. I also mentioned that you don't seem to consider taxpayer-funded things "subsidies" if you personally benefit from them, which is why you don't consider freeways a subsidy, but no, you're wrong.
They aren't the only example.
Public utilities are another example. Until about 3-4 years ago, developers building new projects paid a single flat fee to connect to public sewer systems, regardless of whether they were building in the central city, where infrastructure was already in place, or out in new-growth areas, where new pipes have to be laid to provide sewer systems. So, in effect, anyone doing a sewer connection downtown was paying a big cash subsidy to reduce the expenses of people building in suburbs.
Part of the Clean Water Act, signed by Nixon, included massive public-works projects bringing water supplies into new growth areas (in other words, suburbs) at public expense, to the tune of hundreds of billions. This was a huge public subsidy of suburban development.
The Federal Housing Administration (FHA) was set up during the Depression. Prior to the FHA, mortgages only covered 30-40% of the cost of a home. The FHA program covered loans up to 90% of the price of the mortgatge, but there were two restrictions: they would not lend to buy properties in non-white neighborhoods (generally in central cities) and they gave the highest rating to new growth areas--almost exclusively suburbs. FHA loans are still around, although the restriction about non-white neighborhoods was removed in the 1970s.
After World War II, VA loans provided even more subsidy to veterans, but again, the loans were only applicable in new growth areas. This, combined with the new freeway systems, produced an explosion of suburban growth, subsidized by taxpayer-funded transportation (freeways) and taxpayer-backed loan programs.
In more recent history, the deregulation of the banking industry that allowed the explosion of the subprime loan market (the same explosion that is throwing shrapnel through most of the economy these days) drove suburban growth even more. But that growth isn't possible unless highway expansion allows more traffic to move out to the new suburban growth areas, and other utility connections (like the aforementioned subsidized sewer connections) are provided by nearby municipalities.
I have mentioned most of these things over and over, you just kinda tend to forget them.