Similarly, I often wonder why cities don’t promote local telecommuting over building expensive public transportation infrastructure. Building one kilometre of subway costs anywhere from around $100 million to $1.6 billion ( https://marroninstitute.nyu.edu/events/how-much-does-it-cost... ), and then requires subsidies to run. Why not use this money to provide incentives for people to telecommute? And while some might…
>> Similarly, I often wonder why cities don’t promote local telecommuting over building expensive public transportation infrastructure. Because if they promote it too much, they people move far away and the city loses the tax base. One extreme example is New York City -- they have a 3.5% income tax. If you move into next-door NJ or CT, the city loses that 3.5% income.
And once telecommuting is common in a given company, the workers begin to disperse, first to "driving distance" and then to "anywhere in a reasonable timezone".
We already saw how badly Covid hit city centers, perpetual work-from-home would be worse; causing a mini-Detroit in many cities.