LECTURE NO.

09
TOPIC: ECONOMIC RESOURCES
Introduction:
The phrase Economic Resources means the natural, human and capital resources
that are used to produce goods and services. It is also called factors of production.
The definition of economic resources as mentioned above clearly spell out that the
theme economic resources is directly related to production of goods and services. In
relation to production three questions are very important. What to produce? How to
produce? For whom to produce? In addition it is also important to understand that
why goods and resources are related to town planning and how land labour and
capital are the significant elements of town planning? Whereas; it may need a
further explanation regarding economics as well as urban economics so as to
understand the details about economic resources, and its significance in Town
Planning. Lets try to answer all these questions in the following:
Natural, Human and Capital resources:
Materials or energy from the environment used for human needs are natural
resources. Human resources; is a term with which many organizations describe the
combination of traditionally administrative personnel functions with performance,
Employee Relations and resource planning. It is the collective capabilities,
experiences, potential and commitment of the organizations board, management
team, staff, and volunteers.The objective of human resources is to maximize the
return on investment from the organization's human capital and minimize financial
risk.
Goods and Services:
In economics, economic output is divided into physical goods and intangible
services. Consumption of goods and services is assumed to produce utility. We
satisfy our needs and wants by buying goods and services. Goods are items you can
see and touch, such as a book, a pen, a folder etc. Services are provided for you by
other people, such as; doctor, dentist, haircut and eating out at restaurants. Or in
other words, things that are produced by a country's economy examples of goods
include food; clothing, machines, and new roads, examples of services include those
of doctors, teachers, merchants, tourist agents, construction workers, and
government officials.
What is Economics?
Economics is the social science that studies the production, distribution, and
consumption of goods and services. Economics aims to explain how economies work
and how economic agents interact. Economic analysis is applied throughout society,
in business and finance but also in crime, education, the family, health, law, politics,
religion, social institutions, war, science and research. Microeconomics looks at
interactions through individual markets, given scarcity and government regulation.
The theory considers aggregates of quantity demanded by buyers and quantity
supplied by sellers at each possible price per unit. It weaves these together to
describe how the market may reach equilibrium as to price and quantity or respond
to market changes over time. This is broadly termed demand-and-supply analysis.
In microeconomics, production is the conversion of inputs into outputs. It is an
economic process that uses resources to create a commodity that is suitable for
exchange. Some economists define production broadly as all economic activity
other than consumption. Public finance is the field of economics that deals with
budgeting the revenues and expenditures of a public sector entity, usually
government. Thus; the field of economics mainly determines every policy that a
government makes for development or town planning.
What is Urban Economics?
Urban Economics is broadly the economic study of urban areas. As such, it involves
using the tools of economics to analyze urban issues such as crime, education,
public transit, housing, and local government finance. More narrowly, it is a branch
of microeconomics that studies urban spatial structure and the location of
households and firms. Urban economics focuses on these spatial relationships to
understand the economic motivations underlying the formation, functioning, and
development of cities.
Urban economics is divided into six related themes:
Market Forces in the Development of Cities
Market forces in the development of cities relates to how the location decision of
firms and households causes the development of cities. The nature and behavior of
markets depends somewhat on their locations therefore market performance partly
depends on geography. If a firm locates in a geographically isolated region, their
market performance will be different than a firm located in a concentrated region.
The location decisions of both firms and households create cities that differ in size
and economic structure. When industries cluster, like in the Silicon Valley in
California, they create urban areas with dominant firms and distinct economies. By
looking at location decisions of firms and households, the urban economist is able to
address why cities develop where they do, why some cities are large and others
small, what causes economic growth and decline, and how local governments affect
urban growth. Because urban economics is concerned with asking questions about
the nature and workings of the economy of a city, models and techniques
developed within the field are primarily designed to analyze phenomena that are
confined within the limits of a single city.
Land Use within Metropolitan Areas
Looking at land use within metropolitan areas, the urban economist seeks to
analyze the spatial organization of activities within cities. In attempts to explain
observed patterns of land use, the urban economist examines the intra-city location
choices of firms and households. Considering the spatial organization of activities
within cities, urban economics addresses questions in terms of what determines the
price of land and why those prices vary across space, the economic forces that
caused the spread of employment from the central core of cities outward,
identifying land-use controls, such as zoning, and interpreting how such controls
affect the urban economy.
Economic Policy in Urban Areas
Economic policy is often implemented at the urban level thus economic policy is
often tied to urban policy. Urban problems and public policy tie into urban
economics as the theme relates urban problems, such as poverty or crime, to
economics by seeking to answer questions with economic guidance.

Urban Transportation and Urban Economics

Urban transportation is a theme of urban economics because it affects land-use
patterns as transportation affects the relative accessibility of different sites. Issues
that tie urban transportation to urban economics include the deficit that most
transit authorities have, and efficiency questions about proposed transportation
developments such as light-rail.
Housing and Public Policy
Housing and public policy relate to urban economics as housing is a unique type of
commodity. Because housing is immobile, when a household chooses a dwelling, it
is also choosing a location. Urban economists analyze the location choices of
households in conjunction with the market effects of housing policies.
Government Expenditures and Taxes in Urban Economics
The final theme of local government expenditures and taxes relates to urban
economics as it analyzes the efficiency of the fragmented local governments
presiding in metropolitan areas.

Conclusion:
Conclusively for any town planning three questions as mentions above are very
important. What to produce? How to produce? For whom to produce? The answer to
these questions is the key factor to understand the whole dynamics of economic
resources in town planning. Because the answer clearly lead us to appropriate use
of economic resources.
LECTURE NO. 10
TOPIC: LEGAL AND ADMINISTRATIVE PROBLEMS
Introduction:
In order to comprehend the legal and administrative problems in town planning at
first it is important to understand the terms Legal and Administrative. The term
legal mean established by or founded upon law or official or accepted rules. Thus;
legal problems in town planning must be either related to law or official accepted
rules of town planning. Here the question arises that in what context the legal
problems may be addressed? Because legal problems in town planning; may vary in
each context and urban setting. Similarly the term administrative mean of or
relating to or responsible for administration. Therefore; administrative problems in
town planning must be related to administration of a town. Now; in order to
understand the legal and administrative problems in town planning one must have a
thorough understanding about the Law and Administration of a town. On the other
hand the knowledge about urban problems may also be the way to learn legal and
administrative problems in an urban context.
What is a Law?
Law is a system of rules, usually enforced through a set of institutions. It shapes
politics, economics and society in numerous ways and serves as the foremost social
mediator in relations between people. Law governs a wide variety of social
activities. All legal systems deal with similar issues and behaviors, but each country
categorizes and identifies its legal standards and principals in different ways. A
common distinction is that between "public law" (a term related closely to the state,
and including constitutional, administrative and criminal law), and "private law"
(which covers contract and property). Three categories are of importance here i.e.
Law and society, Law and commerce, Law and regulation. Law and society include
Labour law, Civil rights and Human rights law, Immigration and nationality law,
Social security law and Family law. Law and commerce include Commercial law,
Admiralty law and the Law of the Sea, Company law and Intellectual property law.
Law and regulation include Tax law, Banking law, Competition law, Consumer law
and Environmental law. Regulation deals with the provision of public services and
utilities. Especially since privatisation became popular private companies doing the
jobs previously controlled by government; energy, gas telecomm and water are
regulated industries.
What is an Administration?
The term administration, as used in the context of government, differs according to
jurisdiction. In business, administration consists of the performance or management
of business operations and thus the making or implementing of major decisions.
Administration can be defined as the universal process of organizing people and
resources efficiently so as to direct activities toward common goals and objectives.
What is Public Administration?
Public administration can be broadly described as the development, implementation
and study of branches of government policy. The pursuit of the public good by
enhancing civil society and social justice is the ultimate goal of the field.

What are Urban Problems? [7]

Urban problems remain similar worldwide. The United Nations Development
Programme announced on 28 July 1997 that unemployment remains the world's
number one urban problem, according to a survey of mayors of cities from around
the world.
The purposes of the survey was to identify issues and severity of urban problems, to
identify areas where cities are experiencing some successes, and to establish a
baseline for future more systematized surveys to help the United Nations better
understand trends, needs and opportunities.
More than half of the world's population now lives in cities and towns rather than in
rural areas. Urban problems and their solutions, therefore, now on top the world's
agenda.
The UNDP survey of 14 categories of problems and the percentages of mayors
identifying them as "severe" are as follows:
Unemployment-----------------------------52.0%
Insufficient solid waste disposal -------------42.0%
Urban poverty------------------------------41.6%
Inadequate housing stock-------------------33.8%
Insufficient solid waste collection------------30.9%
Inadequate water/sanitation facilities-------28.4%
Inadequate public transportation------------26.2%
Traffic congestion----------------------------22.3%
Poor health services--------------------------21.5%
Insufficient civil society participation----------20.9%
Inadequate education services----------------18.9%
Air pollution----------------------------------17.4%
Urban violence/crime/personal safety--------13.5%
Discrimination (women. ethnic, poor)---------6.8%
Significantly, 70 percent of the responding mayors who rank unemployment a
severe problem also rank urban poverty as severe. All problems stem from poverty.
Thus, development programmes should be financed to lessen unemployment and
hence to urge people to work a bit harder. The education sector should be
highlighted to make people understand problems related to modernisation and
everything related to illiteracy. Urban problems stem from rural-to-urban migration.
The best way to work with the large number of new comers is to have them share
the burden of leadership by taking part in providing services.

United States:
Although, worldwide, urban violence/crime/personal safety is not ranked high
among the survey's 14 categories of problems, crime is ranked severe by mayors in
the United States. They say "Our biggest challenge is fighting the crime that has
been caused as a result of illegal drug trafficking. Our efforts to strengthen the
police department and involve neighborhoods and citizens in addressing their local
problems have helped make a real difference in safety levels and decision-making
processes. Success in addressing jobs, tax base growth, and road improvement and
partnerships, has helped to improve the economic future of community and the
quality of life of each resident." On the other hand, Canada's Mayer considers
unemployment and air pollution as his city's severe problems and describes "Urban
success in the new millennium will hinge on providing cities with the legislative and
fiscal capacity to deal with the challenges they are facing. Cities need to forge new
partnerships with senior governments to address population growth and
employment, the provision of hard infrastructure and social services, and
appropriate governance structures.
Europe
A few European mayors consider unemployment a severe problem. Traffic
congestion is also cited as a serious problem. Few European cities mark urban
poverty as a problem. However, Europe's cities appear to be experiencing problems
related to modernization and technology. They write: "We are transforming a typical
fordist town into a modern, European town. That is a slow and difficult long-term
process that needs time and the participation of the whole city system. The risk of
such urban transformation is to forget large parts of the population. We do not want
that -- we are working to bring together development and solidarity. Relating
technological to environmental concerns, Cologne's Mayor writes: "The success in
establishing modern technology enterprises (e.g. media, bio- and genetic
technology, environmental technologies) shows that there is a possibility for
economic progress without interfering with environmental interests, for reconciling
economy and ecology."
Africa
Many African mayors note the interrelatedness of unemployment and poverty, rural-
to-urban migration, and the consequent negative impact on services. "The most
serious problems in our city are interrelated; urban unemployment causes poverty,
and because of such poverty, people are not capable of paying for services such as
health and education." Similarly, Mayor of Uganda cites "the collapse of industries"
as causing "urban poverty arising from unemployment." Also, the mayor of
Zimbabwe laments the "low levels of industrial development leading to
unemployment and poverty." Mayor of Nairobi Kenya comments: "Due to population
influx into the city, adequate provision of services -- such as housing, schools,
medical, water, sewerage, roads, etc. -- is a nightmare." Some African mayors link
unemployment to problems related to idle youth. Thus, Mayor of Bobo-Dioulasso
writes: "Bobo-Dioulasso was a cleaner town in the past. Young men of Bobo-
Dioulasso spend most of their time drinking tea. They don't want to work." Mayor of
Banjuk Gambia adds: "Problems of drug use and rural-urban migration among our
youth have increased considerably as a result of the persistent drought and
unemployment, consequently causing enormous strain on the already stretched
resources of the city." The city of Dakar Senegal, is undertaking a program to
employ youth to improve the city. Thus, Mayor claims: "In the face of the distressing
sight which is sometimes found in the city, Operation 'Be clean and make clean' has
enabled the municipality to put to work all the young people, grouped in association
to clean up the city of Dakar. Other than the creation of employment, this
experience has the benefit of: developing a sense of citizenship, enabling
participation in the management of the city, and fighting against exclusion and
poverty."
Asia and Pacific
The city of Wuhan China has given high priority to solid waste collection and
disposal as city's most severe problems. Same is the case of the cities of Baroda
and Guntur in India, Nagoya of Japan, Kathmandu of Nepal, and Suva of Fiji. Suva's
Mayor explains: "The Fiji land tenure system has made it very difficult for our finding
an alternative site for our solid waste disposal." Mayor of Kawasaki Japan cites an
"aging society and declining birth rate" as that city's most serious problem. "The
sudden arrival of the aging society is a serious problem facing the whole of Japan,"
he comments. "It is predicted that Kawasaki's population over 65 years will double
by the year 2010." Accordingly, "we must concentrate on building facilities
providing care for the elderly, and find sources of workers." Likewise, Nagoya's
Mayor Lists as City's number one problem as "Preparation of a care system for a
rapidly aging society." Mayor of Pusan Korea claims that traffic congestion and clean
water are his city's most serious problems.
KARACHI
The Karachi Development Authority has categorized the critical problems of Karachi
as:
Poor environmental conditions in slums and Katchi Abadis;
An abnormal increase in population leading to quick urbanization;
Health hazards owing to lack of proper water supply, sewerage, and storm water
drainage;
Pollution owing to industrial wastes;
A defective transport system and consequent vehicle-created air pollution;
The destruction of historical heritage and green areas;
A haphazard location of some industries;
Congestion of roads and the downtown area causing, noise and pollution;
A defective refuse collection and disposal system;
Pollution in coastal waters causing harm to marine life; and
Pollution caused by light and electronics.
A lack of evaluation of previous planning attemptsPlanning initiatives often start
anew without adequately evaluating possible merits of past plans.
The absence of political mandate for the planning processPlanning processes have
usually been under the direction of the donors or UN agencies, without enjoying the
political mandate necessary for keeping open the possibility of ad hoc adjustments.