Box 22, Folder 2, Document 44

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Box 22, Folder 2, Document 44

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Itz D.

Draft 5/10/67


Urban Youth: Education and Employment:

Further statement on educational and employment problems of

the ghetto. But also pointing up the general problems of youth
in urban and suburban society, with the prospect of increasing
restiveness and under-employment not entirely related to race
and poverty. Need to integrate construction trades.
The Urkan Calculus in National Economic Policy
Elaboration of relevant trends: the Baumol thesis re the
escalating costs of a service economy and the increasing
reliance on the public market: the employment and urban design
implications of moving from manufacturing to services; the
importance of adding an urban competence to the Council of
Economic Advisers, Treasury, Internal Revenue, Jt. Congres-"
sional Committee, etc. The use of economic leverages (e.g.
attainted titles) to accomplish urban purposes. The question
of elevating HUD or part of it to a level where it partici-
pates in economic policy decisions.

Urban Financial Flows

The erratic flow of resources into housing and other critical
urban functions. The liklihood of revenue sharing and block
grants, and the importance of tying these developments into
a strategy for rationalizing and extending state and local
revenue sources. The need for increasing consumer income

and entrepreneural incentives in the ghetto, linking these

with reforms of the welfare and tax systems.


If G.

Administrative Barriers:

The problem of administering 440 separate federal-programs
affecting urban communities, and the hopeful prospect of
consolidating and simplifying federal grants. Restrictive
policies of critical agencies, including FHA. Possible re-
commendation of neighborhood development corporations, with
share of capital advanced from national community development
bank. An emerging role for the States; and reconsideration of
metropolitan planning requirements both to reduce administra-
tive congestion and to encourage dispersal of ghetto popula-
tions. Discussion of use of incentives, including "bounty"
device for making ghetto residents economically attractive to
local governments.

Manpower for Urban Affairs

Estimate of critical shortages, and mention of improbability
of going to scale (or even carrying out present scale) without
massive entry of new personnel. Consideration of Frank
Riesman's approach through new careers for the poor. Impor-
tance of steering new service complexes (medical, educational,
etc.) to ghetto areas and/or residents. Possible use of

Negro and other minority servicement, as recruits to public
and community service after their hitch has ended. Need for
federal aid for pre-service and in-service training.

Toward Continuous Problem-Solving

Ezra’s treatise on need for critical path and staging in
development of public programs; also for built-in capacity for

innovation. Importance of sustained financing for experi-

mental programs, and for evaluation going-beyond what is
provided for Model Cities, etc.

Itt H. . (as indicated in Table of Contents)

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