Skip Navigation
Megan McArdle

Megan McArdle - Megan McArdle is a senior editor for The Atlantic who writes about business and economics. She has worked at three start-ups, a consulting firm, an investment bank, a disaster recovery firm at Ground Zero, and The Economist. More

Megan was born and raised on the Upper West Side of Manhattan, and yes, she does enjoy her lattes, as well as the occasional extra-dry skim-milk cappuccino. Her checkered work history includes three start-ups, four years as a technology project manager for a boutique consulting firm, a summer as an associate at an investment bank, and a year spent as sort of an executive copy girl for one of the disaster-recovery firms at Ground Zero … all before the age of 30.

While working at Ground Zero, Megan started Live From the WTC, a blog focused on economics, business, and cooking. She may or may not have been the first major economics blogger, depending on whether we are allowed to throw outlying variables such as Brad Delong out of the set. From there it was but a few steps down the slippery slope to freelance journalism. She has worked in various capacities for The Economist, where she wrote about economics and oversaw the founding of Free Exchange, the magazine's economics blog. She has also maintained her own blog, Asymmetrical Information, which moved to The Atlantic, along with its owner, in August 2007.

Megan holds a bachelor's degree in English literature from the University of Pennsylvania and an M.B.A. from the University of Chicago. After a lifetime as a New Yorker, she now resides in northwest Washington, D.C., where she is still trying to figure out what one does with an apartment larger than 400 square feet.

Can the Rise of the Internet Explain D.C. Zoning Fights?

By Megan McArdle
Jan 24 2012, 3:32 PM ET Comment

Yesterday's post about the internet challenge to brick-and-mortar retail has triggered a number of really interesting discussions in the comments about things like big box supply chains, the sustainability of Amazon's Prime strategy, and the future of teenaged jobs in a world without physical retail.  I highly recommend reading them.

One of the sub-discussions caused my thoughts to turn--as they so often do--to neighborhood politics in DC.  Yes, those of you who are sick of my DC-centric posts can tune out now.  The rest of you, read on . . . 

Many of the urban planning debates that take place in DC are in fact proxy battles over gentrification.  Almost no one on either side ever actually voices the core conflict, which is that the poorer, mostly black current residents do not want gentrification to force their community out of their affordable and centrally located homes, and the newer, mostly white residents want the sort of services (and property values) that materialize when a neighborhood gentrifies*--and that the presence of one community is an obstacle to the goals of the other.  

Since no one wants to come right out and say this, the debate focuses on procedural issues:  noise, parking, safety, "respect to the community".

Basically, the gentrifiers spend a lot of time arguing in favor of new bars and restaurants; the current residents spend a lot of time arguing that they aren't needed.  Both sides argue--and may even genuinely believe--that this is a purely principled argument over, say, the procedural mechanisms for distributing liquor licenses, but this is pretty transparently not the actual motivation.  In my own neighborhood, many of the people who had argued forcefully in favor of licensing Shaw's Tavern seem to have neatly switched sides when the applicant was Full Yum Carryout, a sort of Chinese-hybrid takeout place that caters almost exclusively to the area's black residents.

(Before you ask, I am against liquor licenses on principle, but if we must have such a regime, I believe that the regime should follow the "shall issue" principle that governs dog tags and fishing licenses.)

If you follow these debates long enough, you end up hearing a lot of the anti-gentrifiers argue that they too, want services--just not bars and restaurants, or so many bars and restaurants.  This has always struck me as a little bit odd because they're sort of vague on what services they do want.  Grocery stores are a big favorite--but my neighborhood, Eckington, now has two large, well stocked supermarkets, and I doubt that the density would support much more than that.  Everyone seems to love dry cleaners, and drugstores (but we have a fair number of those, too).  Beyond that, it's not been clear to me what people had in mind when they complained that all the bars and restaurants would prevent the development of needed retail.

So the discussion about shopping patters suggested something I hadn't quite grasped before.  DC's young gentrifiers are, even as gentrifiers go, disproportionately well-connected to the internet. Indeed, I wonder if Amazon isn't partly responsible for the pace of gentrification here.  In the neighborhoods that are currently gentrifying, the retail corridors were destroyed in the 1968 riots and never really came back; it's no joke living in a neighborhood like that without a car.

. . . unless Amazon delivers bulky stuff to your door.  Most of the affluent "new" people I know in DC are like my husband and I: they order everything they can over the internet.  We don't need much in the way of brick-and-mortar retail; what we need is bars and restaurants, and maybe a salon or two.  If you are not so thoroughly web-ified, you almost certainly want a much more retail-heavy commercial district.  And while many of the "old DC' residents are of course on the internet and social media, many others cannot afford broadband connections, or credit cards--and given their older age skew, many others probably simply aren't that comfortable with, or interested in, shopping online.

I'd been thinking of the bar-and-restaurant complaint as a convenient shorthand, rather than something that is almost literally true: the gentrified districts in DC boast very little other than places for young people to gather and refresh themselves.  Not nothing, but much less than, say, the streets I grew up on in New York.

All of which is another way of saying that your neighbors cause externalities.  Who lives next to you will determine many important things about your life, from how late the music plays, to how far you have to walk in order to buy a radio or a baby carriage.  In aggregate, the people in a neighborhood eventually customize that place to suit their particular wants (unless, of course, those wants are limited by their wallets).

The corollary of that is that it is not irrational to want to control who moves in around you--or even to want to maximize the number of people who are like yourself.  The more people there are like you, the more the neighborhood will suit your needs.

I'm not saying that we should cater to this desire (in either the gentrifiers, or the gentrified).  But we shouldn't act like it's necessarily crazy or evil, either.

* (Note: there's a another sort of argument that takes place when the neighborhood has already gentrified, and the residents band together to prevent new people from coming in to block their views and compete for free street parking spaces.  But these arguments are basically pretty naked displays of self interest, so I've left them out.)


Presented by

More at The Atlantic

A Music Video Remix of Classic Sci-Fi Films About A.I. A Music Video Remix of Classic Sci-Fi Films About A.I.
Will Raising School Attendance Age Lower the Dropout Rate? Will Raising School Attendance Age Lower the Dropout Rate?
Blue-Collar Votes Will Make or Break Santorum in Michigan and Beyond Blue-Collar Votes Will Make or Break Santorum in Michigan
Can Educators Ever Teach the N-Word? Can Teachers Ever Use the N-Word?
Reward Good Food: Prince Charles on Healthy, Sustainable Farming The Future of Food

Join the Discussion

After you comment, click Post. If you’re not already logged in you will be asked to log in or register.
blog comments powered by Disqus
Special Report
The Civil War National Portrait Gallery The Civil War
A 150th-anniversary commemorative issue, with Atlantic work by Mark Twain, Harriet Beecher Stowe, Frederick Douglass, and others. Read more ›
View All Correspondents

The Biggest Story in Photos

More From Carnival 2012

Feb 22, 2012

Subscribe Now

SAVE 59%! 10 issues JUST $2.45 PER COPY

Facebook

Newsletters

Sign up to receive our free newsletters

(sample)

(sample)

(sample)

(sample)

Megan McArdle
from the Magazine

Why Companies Fail

GM’s stock price has sunk by a third since its IPO. Why is corporate turnaround so difficult…

The Graduates

Busted banking careers, crashed consultants, and shrunken incomes: the author attends her 10-year…

Romney’s Business

The Republican contender touts his business experience—but does it really matter?