Smaller can be better

In a recent editorial (June 25, “Pittsburgh’s leaders should combat a shrinking labor pool with incentives”), the editorial board converted a six-word phrase from the subtitle of my article “Smart Growth for Regions of All Sizes” into a misleading factoid. The rest of my article — even the rest of the subtitle — argues that smaller can be better and prescribes a very different set of recommendations than does the board.

My 2019 article, which appeared in the Federal Reserve Bank of Philadelphia’s Economic Insights, shows that even though Pittsburgh’s population had shrunk by 400,000 since 1969, the region’s economy is relatively sound. In particular, the article examined the 53 largest metropolitan areas around the country and demonstrated that “population growth and job growth are not preconditions for a region to become economically healthy.”

By the article’s conclusion, there are recommendations for producing realistic regional economic analysis; a fiscally sustainable longrange, comprehensive plan for compact regional development; policies to assist the low-wage working poor (including assistance to move to good jobs elsewhere); and efforts to attract or nurture progressive-minded employers.

Offering amenities and one-time perks may attract a few people but creating an economic base with innovative firms that create highproductivity workforces and pay-above-average wages are the key to a region’s success.

PAUL R. FLORA

Manager, Regional Economic Analysis Federal Reserve Bank of

Philadelphia