The neoliberal philosophy of fiscal austerity aligned with reduced regulation has transformed Chicago. As pursued by mayor Rahm Emanuel and his predecessor Richard M. Daley, neoliberalism led officials to privatize everything from parking meters to schools, gut regulations and social services, and promote gentrification wherever possible. The essayists in Neoliberal Chicago explore an essential how does neoliberalism work on the ground in today's Chicago? Contextual chapters explore race relations, physical development, and why Chicago embraced neoliberalism. Other contributors delve into aspects of the neoliberal vision, neoliberalism's impact on three iconic city spaces, and how events like the 2008 foreclosure crisis and the bid to attract the Olympic Games reveal the workings of neoliberalism. Stephen Alexander, Larry Bennett, Michael Bennett, Carrie Breitbach, Sean Dinces, Kenneth Fidel, Roberta Garner, Euan Hague, Black Hawk Hancock, Christopher Lamberti, Michael J. Lorr, Martha Martinez, Brendan McQuade, Alex G. Papadopoulos, Rajiv Shah, Costas Spirou, Carolina Sternberg, and Yue Zhang.
This book reads like it was the result of an academic conference on modern day Chicago. Many of the authors, including all three of the editors, teach at DePaul in the city. It's an examination of how Chicago has changed under Richard M. Daley and Rahm Emmanuel. The intro defines "neoliberal" as policies that seek to privitize the public sector and marketize public services. It's based on the economic ideas of Hayek and Friedman and have helped lead to radical reconfiguring of class relations. It's helped lead to the increasing economic polarization as the gap between haves and have-nots keeps widening. It's generally a good book and makes its points effectively, though they do overstate things. For example, one article on pro sports in Chicago notes that games are increasingly found on pay cable instead of regular local/network stations, putting the games further in the hands of the "elite." Er, it does cut off the bottom of the economic ladder from the games, but if you're going to define the elite as those who have cable, then you're doing it wrong. Also, while I generally agree with the books critiques of neoliberalism, I wouldn't mind a "sympathy for the devil" chapter. Ultimately, a city like Chicago has to try to maintain a solid tax base, so either engage in some of these behaviors, or risk having a lot of the higher income people flee the city, leaving it in dire straits. The city is itself stuck dealing with forces beyond it's control. It ain't the fault of Daley or Emmanuel that so many of the old industrial jobs are gone.
There is an increasing backlash against neoliberalism in Chicago, as Emmanuel learned when it ook a run-off to beat Chuy Garcia in 2015. Emmanuel represents corporate interests, financial services, and the real estate community. Neoliberalism has sees the city sell off highways, parking meters, build charter schools, build stadiums, and give sweetheart deals to corporations. TIFs (Tax Increment Financing) are designed to target "blighted" neighborhoods unable to attract investment. They fund infrastructure projects, beautification projects, etc. By 2015, there were more than 160 TIF districts in Chicago. It has some success, but it's also controversial in how it defines "blight."
There are three phases for Chicago: 1) industrial city, 2) Rust Belt, 3) revitatilized core. Segregation has persisted. In 1960, 69% of the city's blacks live in places that were at least 95% black. In 2011, it was "only" 63% living in those areas. There are black middle class areas that are removed from their poor. The city's public schools are only 9% white. In 2007, only half of Hispanics and about 40% of blacks graduated, though those numbers rose to 70% (playing games with numbers? Listing drop outs as in new districts?) Rahm closed schools in 2013, despite local protests. Blacks had home foreclosures at 3x the national rate. De-industrialization really hurt blacks. The ghetto lacks jobs. Hispanics are between whites and blacks economically. Plutocrats affect real estate values, thought it's not as bad as NYC or SF or London. Working classes are displaced from public spaces and disengaged from politics and told that inequality is due to individual effort as the public discussion shrinks.
Blacks now live in the south and west sides. Hispanics in the SW & NW. Whites in the far NW and by the lake. There is increasing isolation and decreasing variance. This is connected to the geography of income. Suburbs are more diverse. The CHA tear downs led to more blacks in teh suburbs. 2008 derailed economic growth.
The Shakman decisions along with the decline of the old ethnics hurt traditional machine politics. It survived by clustering around family dynasties. Traditional urban liberalism was dead by the 1990s, and Daley did business-friendly neoliberalism. The Tribune and Sun Times were both crippled by predatory capitalism. Daley started slow with privitization, but went on a spree from 2004-08: parking garages, Skyway, Midway Airport, and parking meters. The last one provoked the big backlash. Rahm came in pro-charter schools from Day One He represented the financial wing of the Democratic Party. He ceded city planning to the World Business Chicago, a private group of business leaders.
Both Daley and Rahm are pro-green mayors. But this chapter argues that the green-friendly policies are out of the reach of many. It's pro-business and pro-consumer environmentalism. Sustainability is just rhetoric unless it addresses social and economic justice issues, though, this chapter argues. Much of the city has no enforcement of recycling programs. Trash collecting re-routing was done to help better areas and hurt poorer ones. Lower income areas face more pollution.
Sports pages like to portray Chicago (and its athletes) as blue color. In fact, this association began as Chicago itself became less blue collar. It's turning "blue collar" into a re-definition of class. It's not about how much money someone has, but what interests they have. The Black Hawks once even told their players to try to cultivate a "blue collar" identity with their hobbies and activities because doing so helps sell tickets. Mind you, ticket prices in all sports are rising significantly in these years. The city lost a quarter-million jobs from 1967-82 as a quarter of their factories closed. In 1950, 37% worked in manufacturing jobs, but just 7.5% did so in 2011. Sports mask, justify, and profit from the economic inequality of the era. (People aren't protesting economics in the street. Instead they shoot people for Air Jordans). The turning point in this re-definition of class in sports was in January 1986, when Ditka called the Bears a bunch of "Grabowskis".
In the 1970s, the steel industry stopped investing in the South Works in SE Chicago. By 1992, the last South Works facility closed, though plants had been closing since the 1970s. The place shifted from industrial anchor to cultural venue.
Boys Town emerged after WWII. It was energized in the 1970s and had the first Gay Pride Parade in 1970. In the 21st century, it's been gentrified and "de-queered"/mainstreamed. Straight affluents have moved in.
Neoliberalism affects historical preservation. It sees it in only monetary terms. It focuses on profit, not social/cultural importance on its own. But people have fought against it.
People like owning homes. There's a crisis of affordability as local/global elites price out local poor. People try to stay solvent by taking advantage of the expansion of credit -but then comes 2008. The foreclosure crisis of 2005-12 devastated some areas. Places like Engelwood, Austin, and Oakland all had about 40 mortgages per 100 residential parcels in 2005, but just 3-6 in 2012. Minorities were really hurt. Neoliberal home ownership policies had failed as it led to a vicious cycle of bad credit, foreclosures, and lower prices.
The failure of Chicago's Olympic bid showed a differing view of how neoliberalism should work. It's failure led to zero self-reflection on the part of city leaders. Their bid was low budge, limited infrastructure and it's privitized nature lost to better state-funded ventures. There were no plans to use the Olympcis to do large-scale infrastructure projects that could create lasting value (public transit, public facilities). But leaders claimed it would lead to lasting change anyway. The push began in 2006, and in 2007 it won USOC support as a finalist. Two groups opposed: neighborhood groups and anti-corruption groups. These groups distrusted the city's elite. Many were annoyed not just by the big, but by how they were treated. The tone o foutreach to them was "one way" in the tenor of public meetings. (Accept this because we say so). Being the first city eliminated in the final round horrified the elite, but they haven't taken any lessons. It was RMD's last gasp.
In 2003, the city began using really high visibility cameras to deter street crime. These cameras, called PODs, cost $10,000 each. It's the cutting edge of urban surveillance and helps the city cut the the number of cops by 13% as the cameras have expanded. Cameras are subjected to automated data analysis to determine crime as that leads to less man hours watching it. Facial recognizition software is used by 2013. Red light cameras came in 2003 as revenue generators. Polling shows that most support the cameras.
Chicago is a big neoliberal city, but it's not invulnerable. It's not as central to neoliberalism as NYC, London, or Tokyo. Electronic trading has hurt the old exchange floors. Orlando and Vegas take conventions. Full employment in well-paying jobs is fading. Neoliberalism leads to polarization, fragmentation, and disparity. Neighbhorhood activism is down from its 1970s/80s peak.