4. In 1960 the urbanized area surrounding Detroit, MI had a population of approximately 3.8 million and a median family income of $6,825. The urbanized area around Boston, MA had a population of only 2.4 million and a median family income of only $6,622. Detroit was larger and slightly wealthier than Boston. Today, the Boston's urban area is 4.5 million in size with median household income of $94,000 whereas Detroit's urban area has 3.7 million people and a median household income of $61,825. Using the simple system of cities model outlined below, explain the dramatic change in each area's size and fortunes over the past 60 years, particularly why Boston has become so much wealthier and larger relative to Detroit. Note that over this timeframe Detroit's automotive and manufacturing industries suffered major losses due to the increased foreign imports whereas Boston experienced rapid growth in its innovative biotechnology sector.
4. In 1960 the urbanized area surrounding Detroit, MI had a population of approximately 3.8 million and a median family income of $6,825. The urbanized area around Boston, MA had a population of only 2.4 million and a median family income of only $6,622. Detroit was larger and slightly wealthier than Boston. Today, the Boston's urban area is 4.5 million in size with median household income of $94,000 whereas Detroit's urban area has 3.7 million people and a median household income of $61,825. Using the simple system of cities model outlined below, explain the dramatic change in each area's size and fortunes over the past 60 years, particularly why Boston has become so much wealthier and larger relative to Detroit. Note that over this timeframe Detroit's automotive and manufacturing industries suffered major losses due to the increased foreign imports whereas Boston experienced rapid growth in its innovative biotechnology sector.
Chapter1: Making Economics Decisions
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Transcribed Image Text:4. In 1960 the urbanized area surrounding Detroit, MI had a population of approximately
3.8 million and a median family income of $6,825. The urbanized area around Boston,
MA had a population of only 2.4 million and a median family income of only $6,622.
Detroit was larger and slightly wealthier than Boston. Today, the Boston's urban area is
4.5 million in size with median household income of $94,000 whereas Detroit's urban area
has 3.7 million people and a median household income of $61,825.
Using the simple system of cities model outlined below, explain the dramatic change in
each area's size and fortunes over the past 60 years, particularly why Boston has become
so much wealthier and larger relative to Detroit. Note that over this timeframe Detroit's
automotive and manufacturing industries suffered major losses due to the increased foreign
imports whereas Boston experienced rapid growth in its innovative biotechnology sector.
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