housing vacancy survey, april 4, https : / / www. census. gov / housing / hvs / data / ann18ind. html. see dettling, hsu, and llanes, “ a wealthless recovery? ” in note 23 ; and jeff larrimore and jenny schuetz ( 2017 ), “ assessing the severity of rent burden on low - income families, ” feds notes ( washington : board of governors of the federal reserve system, december 22 ), https : / / doi. org / 10. 17016 / 2380 - 7172. 2111. - 13 keep prices high. 27 often put in place in areas with single - family homes to block the development of affordable, multifamily housing, these policies also have contributed to the persistence of racially segregated neighborhoods. the challenge is to increase accessibility to workforce and affordable housing in ways that address legacy disparities. 28 skills, education, and student debt manufacturing and the skilled trades have provided an important pathway to the middle class for many workers, enabling them to own their homes, educate their children, and retire securely. today, though, many face uncertainties associated with the decline in manufacturing jobs, the erosion of employee benefits, and reduced bargaining power. increasingly, the onus is on individuals to ensure that their skills are marketable and upto - date in a highly competitive global marketplace with growing automation. juan salgado, the chancellor of the city colleges of chicago and our closing keynote speaker, has emphasized the role of community colleges in offering affordable, quality education and training. 29 students can begin with a certificate program in advanced manufacturing and continue either to a bachelor ’ s degree in engineering at a nearby public university or to the workplace, acquiring marketable skills likely at lower cost than if they had started at a four - year college. similar programs around the country help provide accessible pathways to the middle class. glaeser and gyorko found that zoning restrictions increased the cost of housing by 25 percent or more in around 15 percent of cities in 2013 and doubled housing costs in about 6 percent of cities. see edward glaeser and joseph gyourko ( 2018 ), “ the economic implications of housing supply, ” journal of economic perspectives, vol. 32 ( winter ), pp. 3 – 30. see richard rothstein ( 2017 ), the color of law : a forgotten history of how our government segregated america ( new york : liver

mark w olson : community development and the bigger picture remarks by mr mark w olson, member of the board of governors of the us federal reserve system, at the social compact visionary awards, washington dc, 25 may 2006. * * * i appreciate the opportunity to join you this evening to recognize the successes of an impressive list of community revitalization projects. having observed the revitalization of washington, d. c., over a number of years, i am particularly pleased to be here at the tivoli theatre and see first - hand the work that has been done to restore this historic theater and bring new activity and investment to the columbia heights neighborhood. as i look around, it is hard to believe that such an architectural gem sat vacant for some twenty - eight years. the restoration of the tivoli honors the past while helping serve the residential, commercial, retail, and cultural needs of columbia heights residents. it is a fine example of the transformative power of investments in older, urban neighborhoods. projects such as this would not be possible without the strategic vision and commitment of community, business, and government leaders. it is that vision we are here to celebrate this evening. i would like to begin by offering a review of the overall economic climate today and the prospects for business investment generally. then, to borrow a phrase from social compact, i will " drill down " to highlight a number of the elements that i believe are important in making sound investment decisions, particularly in underserved areas of our inner cities. finally, i will offer a few other observations about the state of the community development industry as i see it. macroeconomic conditions the recent news on the u. s. economy has been, on the whole, quite positive. adjusted for inflation, gross domestic product increased at a brisk rate in the first quarter of the year. gains in consumer spending and business investment were particularly strong. to be sure, most forecasters are expecting the overall pace of economic activity to moderate to a more sustainable pace in coming quarters as housing markets gradually cool and the delayed effects of higher interest rates and energy prices temper domestic demand. however, with economic activity abroad expanding at a solid pace, export sales should provide some support for domestic production. on balance, the outlook for business investment should remain quite favorable even as the pace of overall activity moderates. against a backdrop of sustained growth in sales, businesses should be well positioned to undertake potentially profitable projects. they have enjoyed robust earnings for the past several years