South Works Chicago: M Book by Institute For Architecture

M CULTURE AND SOCIETY Architecture Performing Arts Visual Arts Film and Music Music Nightlife Sports Food and Drinks Religion Immigration A Chicagoan POLITICS Government Structure Public Safety Public Health Education ECONOMY The Chicago School Key Industries Working in Chicago The State of Chicago Housing Architecture of Social Tension INFRASTRUCTURE City Growth 1850 - Present Road System Rail Network Aviation Water System Lakefront Parks and Public Place Social Infrastructure Neighbourhood Study Future Challanges

Complex Projects

Chicago Graduation Studio South Works, Chicago Research Book Editor Mitesh Dixit

Department of Architecture Delft University of Technology The Netherlands

Research Coordinator Roberto Cavallo Department of Architecture Delft University of Technology The Netherlands

Studio Leaders Helena Casanova Olindo Caso Barend Koolhaas Charlie Koolhaas Tanner Merkeley Darrel Ronald Research Assistants: Dante Borgo Stef Bogaerds Yiannis Tsoskounoglou

Complex Projects

Chair: Prof.ir Kees Kaan

Group M Chen Li Fei Wu Gloria Chen Guang Ruey Tan Wilbert Lambertus Adrianus Veltman Jennifer Wichtowski Siwen Liu Mingjie Ning Wenjia Wang Peng Zhao Agata Majcherska Arnoud Stavenuiter Xuefei Li Varun Amar Kaushik

M_POLITICS

POLITICS

M_POLITICS

POLITICAL TIMELINE

Environment Iconic Project Infrasturcture Public Safety Race, Social, Equality Education

“Expressway” Network Completed Enlarge O'Hare International Airport

Revitalizing the Loop & North Michigan Avenue

Mayor Daley enjoyed great success, particularly in his early years, in reshaping Chicago's landscape. He presided over an unprecedented building boom that created a spectacular downtown skyline.

Build “The New White City”

Dal billio mill Saw tow

The First Environmental-affairs Department

Ma ma Val

Among the changes he made to the city's government was creating its first environmental-affairs department under the management of longtime Great Lakes environmentalist Lee Botts.

Light up every street in Chicago to provide an economic ambiance and prevent crime.

Created the Ethics Commission

“shoot-to-kill” Order The brutal suppression of dissent at the 1968 Democratic National Convention tarnished the city's image, as did his infamous “shoot-to-kill” order shortly after the rioting following the assassination of Martin Luther King, Jr. This statement generated significant controversy. Daley's supporters deluged his office with grateful letters and telegrams (nearly 4,500 according to Time magazine), and it has been credited for Chicago's being one of the cities least affected by the riots.

Issued an executive order increasing minority business contracts Led fight for ward redistricting; more black and Hispanic representation

Public Service Equalization

Fought for equal provision of public services; neighborhood street, curb and gutter repair

Refused Affirmative Action Procedures in Police Build University of Illinois at Chicago

Policies Ambiance

1986 Education Summit In 1986, Mayor Harold Washington convened an education summit that became the impetus for 25 years of reform—in three eras, identified by the Consortium on Chicago School Research.

CPS’s Racially Exclusionary Policies Public Housing for Black He used urban renewal funds to erect massive public housing projects that kept black Chicagoans within existing ghettos.

1950s-1970s Richard J. Daley

1983-1989 Harold Washington 1987 Teacher Strike 19 days 1988 Chicago School Reform Act

1968 Chicago Race Riots The 1968 Chicago riots were sparked by the assassination of Dr. Martin Luther King, Jr. Rioters and police in Chicago were particularly aggressive, and the damage was severe.[2] Of the 39 people who died, 34 were black.

Illinois legislature passes the Chicago School Reform Act, which creates the local school council system in place today and initiates a period of aggressive reform.

1983-1987 Council War Washington's first term in office was characterized by ugly, racially polarized battles dubbed "Council Wars", referring to the then-recent Star Wars films. A 29–21 City Council majority refused to enact Washington's reform legislation and prevented him from appointing reform nominees to boards and commissions.

1997 G

The first m mayor in City Coun 1997. Be and anoth with sno operators

M_POLITICS

989-1991 Tax Cut

ley's first budget proposal, the 1990 budget, included $3 on in spending, $50 million more than 1989, featured a $25 lion reduction in the property tax levy, extended Mayor wyer's hiring freeze, piloted recycling, and privatized the City's w truck fleet.

995 Take Control of CPS

ayor wins authority to appoint CPS anagement team and school board. Paul llas becomes the first CPS CEO.

2003 Meigs Field Airport Turned to a Park

2011 High School Closing & CPS Reform

On February 6, 2008, the Chicago City Council approved, by a 41â&#x20AC;&#x201C;6 vote, an increase in the city's real estate transfer tax to bail out the Chicago Transit Authority.

The mayor lengthened the school day for Chicago's elementary and high school students, reorganized the city's enormous system of community colleges to emphasize job-skills training. After reading in the Wall Street Journal about IBM's plans to create a six-year high school curriculum heavy in STEM subjects--science, technology, engineering and math--Emanuel decided to adopt the idea, but at five schools. He is determined to steer Chicago's leading universities into partnerships with local high schools.

2008 More Leases of Infrastructure

2011 Government Budget Cuts

2008 Real Estate Transfer Tax Increase

In September 2008, Chicago accepted a $2.52 billion bid to lease Midway International Airport for 99 years to a group of private bidders that included Citigroup. The Midway deal fell through when the private bidders were unable to secure adequate financing. In 2008, as Chicago struggled to close a growing budget deficit, the city agreed to a 75-year, $1.16 billion deal to lease its parking meter system

2006 Long-term Leases of Infrastructure In January 2006, Skyway Concession Company, a joint venture between the Australian Macquarie Infrastructure Group and Spanish Cintra Concesiones de Infraestructuras de Transporte S.A., paid the City $1.83 billion for rights to operate the Chicago Skyway and collect tolls for 99 years. The deal was the first of its kind in the U.S.

Take action to address gun violence Reduce summer violence, especially among youth Coordinate public safety efforts more effectively

2012 Environment & Sustainability 2010 Gun Control In May 2010, Daley held a press conference to address gun control and a pending possible adverse decision in McDonald v. Chicago.

1990-2010 Richard M. Daley 2002 Rubber Stamp Counsil Even More By 2002, more than a third of the Council's 50 aldermen were initially appointed by Daley.[78] The Council became even more of a rubber stamp than in Richard J. Daley's terms. In the 18 months from January 12, 2000 to June 6, 2001, there were only 13 divided votes in the Council, less than one a month. 32 aldermen supported the mayor 90-100% of the time and another 14 supported the mayor 80-89% of the time.

2006-2009 Budget Deficits 1999 Police Abuse In October 1999 the organization issued a report "Summary of Amnesty International's concerns on police abuse in Chicago" which expressed concerns regarding improper tactics during questioning, the detention and interrogation of children, allegations of excessive force, shooting of unarmed suspects, and the lack of any external oversight of police complaints and disciplinary procedures.

Government Corruption Scandal

major public corruption scandal of Daley's tenure as nvolved the circumstances of the resignation of his ncil floor leader, Alderman Patrick Huels, in October etween 1992 and 1997, the city paid Marina Cartage her Tadin company $49 million for supplying the city ow removal and other heavy equipment and s.

a new superintendent of police - Newark, N.J., police commissioner Garry McCarthy, a Bronx-born veteran of the New York City police and a disciple of the law-enforcement guru William Bratton Reintegrate policing with the needs and priorities of communities Improve street safety Place more police officers on active street duty

2012 Gun Control & Public Safety

2007-2009 Olympic Bid & Labor Union Contract In 2007 Daley entered into ten-year contracts with the city's labor unions to preclude labor unrest as Chicago launched a bid to host the 2016 Summer Olympic Games.[147][148] For months in 2009, Daley promoted the economic benefits of the proposal to the city and its corporate community. Failed

2012 Rebuild Police Department

2004 Hired Truck Program scandal The $40 million-a-year Hired Truck program was the biggest scandal of Daley's first 15 years as Mayor.[97][98] The Hired Truck Program hired private truck companies to do city work. Some participating companies were being paid for doing little or no work, had American Mafia connections or were tied to city employees, or paid bribes to get into the program.

Eliminate food deserts in Chicago Launch city-wide recycling Create a world-class bike network and increase cycling Improve water efficiency, water quality, and water infrastructure

2012 Infrastructure Development Develop bus rapid transit Support transit-oriented development Accelerate infrastructure projects that are critical to regional growth

2011-present Rahm Emanuel

2012 Teacher Strike Among the major issues, the teachers are negotiating over the length of the school day, objecting to their evaluations being tied to performance and fretting about potential job losses.

M_POLITICS

GOVERNMENT STRUCTURE CITY OF CHICAGO ORGANIZATION CHART AS OF 12/31/2012 Citizens ORGANIZATION CHART MAYOR

CITY COUNCIL

CITY CLERK

CITY TREASURER

COUNCIL COMMITTEES

Organization Chart COMPREHENSIVE ANNUAL FINANCIAL REPORT2012

Originally settled by Jon Baptiste Point de Sable in the 1770s and incorporated as a city on March 4, 1837, Chicago developed from a small trading center on the shores of Lake Michigan to the vibrant modern metropolis of today. The city is divided into municipal legislative districts called “wards,” each represented in City Council by an Alderman. The original six wards established under the fect. The City of Chicago is a home rule unit of government under the Illinois Constitution and thereby authorized to perform certain functions pertaining to its government and exercised by the Mayor, the City Clerk, the City Treasurer, and the City Council. The Mayor is the chief executive of the city and responsible for the administration and management of various city departments. The Mayor submits proposals and rec-

ommendations to the City Council and is active in the enforcement of the city’s ordinances. The Mayor also subdepartment commissioners or directors, and members of city boards and commissions. During meetings of the City Council, the Mayor serves as of the Mayor, the President Pro Tempore, who is a member of and elected by the City Council, acts as presiding tions to the City Council of his own accord and on behalf of city departments. Council and the designated repository for city documents. The City Clerk also maintains the corporate seal of the city actions in the Journal of Proceedings and related pam-

M_POLITICS

POWER DISTRIBUTION

Rahm Emanuel Mayor 2011 – Present

The Mayor:

Susana A. Mendoza City Clerk 2011 – Present

The City Clerk:

the chief executive of the city and responsible for the administration and management of various city departments.

nated repository for city documents. tions

Stephanie D. Neely Treasurer 2007 – PresentSource of the picture

The City Treasurer:

the custodian and manager of all cash and investments for the City of Chicago.

chicago city clerk website

phlets as directed by state or municipal law or upon direction of the City Council. The City Treasurer is the custodian and manager of all cash and investments for the City of Chicago, the four City employee pension funds and the Chicago Teacher’s number of programs that promote economic development annual report with the City Council summarizing the city’s investment portfolio including the monies received, invested and dispersed. The City Council is the legislative branch of government

four-year terms. The legislative powers of the City Council

are granted by the state legislature and by the home rule its, the City Council has the general right to exercise any power and perform any function pertaining to its governregulate for the protection of the public health, safety and welfare; to license; to tax; and to incur debt. As established by resolution, the City Council is organized into sixteen standing committees. The jurisdiction, membership and appointment of chairman and vice-chairman are approved by the City Council. Subcommittees may be established for consideration of subject matter under the authority of the parent committee as determined by the chairman. Special committees may be created by the City dermen. Committees meet on call of the chairman or upon request of a majority of the members.

M_POLITICS

POLITICIANS VS WARDS

1983 General Election Winner Harold Washington 1975 General Election Winner Richard J. Daley

Harold Washington 51.7% Bernard Epton 48.0% Ed Warren 0.3%

Richard J. Daley 77.7% N

Km 0

Miles 0 0.5

Rahm Emanuel Richard M. Daley 71.9% 1999 General Election Bobby L. Rush 28.1% Winner Richard M. Daley

Miguel del Valle

Km 0

Miles 0 0.5

2011 General Election Winner Rahm Emanuel

Gery Chico

Miles 0 0.5

M_POLITICS

The northerners always win, except for Harold Washington.

Emanuel is the Second Washington, and this time, even the northerners said yes!

The former mayorâ&#x20AC;&#x2122;s base is the last strength Emanuel can count on.

M_POLITICS

POLITICAL MACHINE

â&#x20AC;&#x153;Machineâ&#x20AC;? in evolving by machine politics in many ways. In the classic Richard J. Daley Machine, control of the government by winning elections allowed the Democratic Party to provide favors for voters in the form of special city services like tree trimming, bulk garbage pick-up, sidewalk repair, a free garbage can. The party could provide who worked the precincts and provided services for constituents in return for votes. The party also provided government contracts, zoning, and protection from inspection and police raids for businesses who made campaign conIn the few decades after 1970s, the economic, industrial and culture environment have shifted. The manufacturing base of Chicagoâ&#x20AC;&#x2122;s regional economy has been replaced by the service economy and, now, by the global economy. Since it now becomes part of the global economy, international economic conditions and transnational corporacan no longer be controled within the city. As a result, in the evolved Richard M. Daley Machine, one third of those contributions come from traditional sources like city contractors and construction unions, another and

is amenities like Millennium Park, the Museums, Opera, and policies which allow them to do global business such as the failure to enact transaction taxes on the stock and commodity exchanges. And the money from contractors sultants, direct mail, TV ads, and public opinion polling to conclusion here to characterise the rough outlines of the New Daley Machine. the machine towards the global economy. cases paying for amenities like Millennium Park. Quasiindependent government agencies govern many sectors of Chicago governance such as tourism, conventions, and sports without oversight by the city council or the voters. chine to match the New Daley Machine in precinct captains from ward organizations or from mayoral sponsored organizations like HDO.

M_POLITICS

Both Daleys won long-term office by “Machine“ opperation.

M_POLITICS

“MACHINE“ IN EVOLVING

AMENITIES PARK MUSEUM OPERA POLICIES CANDIDATE MAYOR

GLOBAL BUSINESS INDIVIDUALS

VOTES JOBS CONTRACTS

CONSULTS PRECINCT WORKER

$$$$ COMPAIN CONTRIBUTES

Richard M. Daley’s Machine

Patronage reciever

Party ward organizations

Party ward organizations Personel pro-Daley group

Interests stream

Jobs, contracts, favors

Jobs, contracts, favors, amenitiese, policies

Interests group

Precinct workers

City contractor, construction union,

Economic pattern

Manufacturing

Supporting ethnics

Chicago Machine Before

White, progressive white, African American

Old Machine

Richard J. Daley

Manufacturing - service

Service - global economy

Latino, progressive white, African American

Latino - White

Machine “Dead, dead, dead“

New Machine

1983-1987 Harold Washington

1989-2011 Richard M. Daley

M_POLITICS

CANDIDATE

VOTES

MAYOR

FAVOR JOBS CONTRACTS

PRECINCT COMPAIN WORKER CONTRIBUTES Richard J. Daleyâ&#x20AC;&#x2122;s Machine

Stakeholders is changing with the transforming in industrial and economic patterns. Now global companies, law firms and financial institutes have joined the game.

As the Machine evolving, public projects and policies have become the new interests.

M_POLITICS

PUBLIC SAFETY: PERCEPTION VS. REALITY?

M_POLITICS

“I say to the power structure in Chicago that the same problems that existed and still exist in Watts, exist in Chicago today, and if something isn’t done in a hurry, we can see a darkened night of social disruption.” --Martin Luther King Jr., 1966

“Chicago Police” Source: chicagomag.com

M_POLITICS

PUBLIC SAFETY

M_POLITICS

FIRE STATIONS

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PUBLIC SAFETY POLICE DISTRICT & POLICE STATIONS

M_POLITICS

CRIME NUMBER 2013

THE NORTH SIDE HAS A SURPRISINGLY LOW MURDER RATE IN COMPARISON WITH THE SOUTH

M_POLITICS

PUBLIC SAFETY HOMICIDE RATE BY 1990

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HOMICIDE RATE BY 2010

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PUBLIC SAFETY HOMELESS SHELTERS

M_POLITICS

WOMENâ&#x20AC;&#x2122;S SHELTERS

SHELTERS ARE CONCENTRATED IN THE CENTRAL AND WEST PARTS.

M_POLITICS

PUBLIC HEALTH: HOW HEALTHY ARE WE?

M_POLITICS

“Chicago Runners” Source: chicagohealthonline.com

M_POLITICS

PUBLIC HEALTH

Chicago Public Health system has a direct impact on the quality of life of this vibrant city. A healthy city is a city physically active. Is prepared to respond to public health threats. Creates healthy and safe environments. Ensures access to care for all its residents. Works to eliminate health disparities for all communities. The department have seen dramatic improvements in many of these areas – but it’s only the beginning. The Chicago Department of Public Health has created a new public health agenda with an ambitious sense of purpose for Chicago – an agenda that engages our city with bold action and goal-driven results. Together they are going to transform the health of Chicago city. It will make Chicago the healthiest city in the nation.

Healthy Chicago focuses on 12 key priorities:

M_POLITICS

CLINICS IN CHICAGO

M_POLITICS

PUBLIC HEALTH HOSPITALS IN CHICAGO

M_POLITICS

PHYSICIANS IN CHICAGO

M_POLITICS

PUBLIC HEALTH HIV RATE

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BREAST CANCER

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PUBLIC HEALTH CHILD OBESITY

M_POLITICS

TEEN PREGNANCY

M_POLITICS

EDUCATION: THE FUTURE OF CHICAGO

M_POLITICS

“Chicago Teachers Union” Source: msnbc.msn.com

M_POLITICS

EDUCATION

0-200 201-400 401-800 801-1600 >1600

M_POLITICS

EDUCATION WELL EDUCATED PEOPLE AND MANUFACTURING

Top 1 Industry by Jobs of each Community Heath Care&Social Assiatance Accommodation&Food Service Admin.&Sup.&Waste Mgmt.&Remed. Transportation&Warehousing Manufacturing Educational Service Retail Trade Finance&Insurance NA

M_POLITICS

EDUCATION COLLEGES AND UNIVERSITIES 2013

HIGH SCHOOLS 2013

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Colleges and Universities

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Independent For-Profit Institutions

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High Schools

Independent NFP Institutions

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Chicago Community Colleges

Public High Schools

Chicago Public Universities

Charter High Schools Private High Schools

Source: http://www.ibhe.org/default.htm

Elementary Schools 2013 ! !

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Elementary Schools

Public Elementary Schools

Charter Elementary Schools Private Elementary Schools

Source: http://www.ibhe.org/default.htm

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Chicago Public School Locations Elementary Schools High Schools

Shared Facility

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Source: http://www.ibhe.org/default.htm Source: http://www.cps.edu/Pages/home.aspx

This maps is current as of August 26, 2013 and intended for use until June 30, 2014

M_POLITICS

Private Schools 2013

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!! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! !! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! !! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! !! !! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! !! ! ! !! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! !! ! ! ! ! ! ! ! ! ! !! !!! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! !! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! !! ! ! ! ! ! ! ! !! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! ! ! ! ! ! !! ! ! ! ! ! ! ! ! !

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Source: http://www.ibhe.org/default.htm Source: http://www.greatschools.org/find-schools/

Source: http://www.cps.edu/Pages/home.aspx This maps is current as of August 26, 2013 and intended for use until June 30, 2014

2012 School Actions

CPS Class 2002 and Potential School Closings High School Dropout School Actions 2012 Rate Not Available 1%-21% School Closings and Potential School22%-25% Actions 2012 26%-29% School Actions 2012 Proposed Schools Closed since 2001 30%43% CPS School Closings and Potential School Actions 2012

Proposed School Actions 2012

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Source: http://www.ibhe.org/default.htm

CPS Schools Closed since 2001

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Private Elementary Schools Private Middle Schools Private High Schools

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Proposed School Actions 2012

Private School Locations

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Chicago Public School Locations

Charter/Contract Elementary Schools Charter/Contract High Schools

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Source: Chicago Teachersâ&#x20AC;&#x2122; Union, Woodstock Institute, 2011

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M_POLITICS

EDUCATION

Less Than High School 2011

High School Graduate and Only 2011

0-10%

10%-20%

10%-20% 20%-30%

20%-35%

>30%

>35% N

Km 0

Miles 0 0.5

College Graduate 2011

Associate&Bachelor Degree 2011

0-10%

10%-20%

20%-30%

20%-35%

>30%

>35%

Km 0

Miles 0 0.5

M_POLITICS

Notes: Only adults aged 25 and older are included in the analysis. Community areas in white indicate data not available. Source: Social IMPACT Research Centerâ&#x20AC;&#x2122;s analysis of the U.S. Census Bureauâ&#x20AC;&#x2122;s 2007-2011 5-year American Community Survey

Master&Doctor Degree 2011 0-10% 10%-20% 20%-35% >35% N

Km 0

Miles 0 0.5

M_ECONOMY

ECONOMY

“Davies Pen of Hogs” Source: commons.wikimedia.org

M_ECONOMY

THE CHICAGO SCHOOL

M_ECONOMY

WHAT IS THE CHICAGO SCHOOL?

Milton Friedman Papers, Hoover Institution Archives

BACKGROUND INFORMATION The Chicago School, as it has come to be called, is associated with the University of Chicago and represents a Neoclassical school of economic thought. The University of Chicago is commonly held as one of the world’s foremost economic institutions. Over the course of its history, the school has produced, and been host to, a number of the United States’ foremost economists including Milton Friedman and Robert Lucas, including Ronald Coase, George Stigler, and Robert Fogel. Scholars from the Chicago School have had pioneering public choice theory, law and economics economics, and economic history. Although the University of Chicago’s Economics Department was founded in the 1892, the Chicago School as we know it, did not begin until the 1930’s. From the beginning, the University has always taken a practical approach to the study of economic theory, which became the basis for The Chicago School. The School now specializes in The Chicago School focuses mainly on macroeconomics,

and is connected to the freshwater school of economics. called saltwater school of economics, which has been adopted by coastal schools such as Harvard University, the Massachusetts Institute of Technology, and UC Berkeley. The School emphasizes theoretical price theory, a strong belief in free markets, and ,therefore, limited involvement from the government in the economy. In 2010, Kaufman said of the Chicago School that it holds “...a deep commitment to rigorous scholarship and open academic debate, an uncompromising belief in the usefulness and insight of neoclassical price theory, and a normative position that favors and promotes economic liberalism and free markets.” The “Old Chicago” School predates the current incarnation. The theories of this school tended to lean heavily to the left and upheld primarily Keynesian ideals. Notable scholars from this period in the school’s history include Frank Knight, Henry Simons, and Paul Douglas. The research and investigations of these scholars Milton Friedman and George Stigler in the development of price theory and transaction cost economics.

M_ECONOMY

THE CHICAGO SCHOOL: NOTABLE SCHOLARS

Frank Knight, educated at Cornell University, the University of Chicago, and the University of Iowa, is one of the world’s foremost economists. He is most well known as one of the founding fathers of the Chicago School. Knight spent the majority of his academic career at the University of Chicago, where he is the Morton D. Hall Distinguished Service Professor, Emeritus, of Social Science and Philosophy. During his tenure he served as mentor to nobel laureates such as Milton Friedman, George Stigler, and is best known for , which studies the role of the entrepreneur in the economy and is the origin of the term “Knightian Uncertainty.”

classical liberalism, receiving the Nobel Memorial Prize in Economic Sciences, with Gunnar Myrdal, in of systems thinking, jurisprudence, neuroscience, and the history of ideas. His academic career was spent at the London School of Economics, the University of Chicago, and the University of Freiburg. Knowledge in Society” was amongst the top 20 articles in the American Economic Review.

Ronald Coase was a British economist and author, educated at the University of London and the London School of Economics. He was awarded the Nobel Prize in Economics in 1991. He was the Clifton R. Musser Professor Emeritus of Economics at the University of Chicago Law School, and is

Commission” marks him as the father of reform in allocation policy of the electromagnetic spectrum.

George Stigler was a principle leader at the Chicago School of Economics and winner of the Nobel Memorial Prize in Economic Sciences in 1982. He is most well known for developing the Economic Theory of Regulation University of Chicago, his research also included the history of economic thought. These contributions are described in his article titled “The Economics of Information.” His article “Information in the Labor

Milton Friedman received the Nobel Memorial Prize in Economic Sciences in 1976. After teaching at economics profession. He is notable for his contributions to consumption analysis, monetary history advocate opposing activist Keynesian government policies. In the 1960’s, he promoted “monetarism,” an alternative macroeconomic policy. During his term as an economic advisor to President Ronald Reagan, he promoted the virtues of a free market economic system with minimal intervention. During this time, he eliminated US conscription and founded The Friedman Foundation for Educational Choice.

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Robert Fogel was the Charles R. Walgreen Distinguished Service Professor of American Institutions of Business. In 1993, along with Douglass North, he received the Nobel Memorial Prize in Economic cliometrics, which has to do with the use of quantitative methods in history. Born in NYC, he received his education at Cornell University, Columbia University, and Johns Hopkins University. Fogel is responsible for Railroads and American Economic Growth: Essays in Econometric History Time on the Cross

new home economics. In 1992, he received the Nobel Memorial Prize in Economic Sciences and the Presidential Medal of Freedom in 2007. Currently, he serves as a Rose-Marie and Jack R. Anderson to research topics traditionally considered part of sociology. These include crime, family organization, racial discrimination, and drug addiction. He argued that many types of human behavior can be rationalized and utility maximizing. He has also made many notable contributions to the study of human capital, and is credited with developing the “rotten kid theorem.”

Robert Lucas is a proefessor at the University of Chicago and received the Nobel Memorial Prize in Papers in Economic rankings. Lucas challenged the foundations of macroeconomic theory, which was formerly dominated by a Keynesian economics approach. Through this, he developed the “Lucas critique” of economic policymaking, which resulted in the development of New Keynesian economics. He is also notable for his contributions to rational expectations, development of the Lucas-Uzawa model as a theory of supply, development of the “Lucas paradox,” and his contributions to behavioral economics, and the law of one price.

Richard Posner is currently a judge on the US Court of Appeals for the Seventh Circuit in Chicago and senior lecturer at the University of Chicago Law School. He was appointed to the US Court of Appeals authoring almost 40 books covering topics such as economics and jurisprudence, and including The Economics of Justice, The Problems of Jurisprudence, Economic Analysis of Law, Sex and Reason, The Crisis of Capitalist Democracy, and Pragmatism and Democracy.. According to The Journal of Legal Studies, he is the most cited legal scholar of the 20th century. Born in New York City, he was educated at Yale College and Harvard Law School. He taught at Stanford Law School before Chicago.

Eugene Fama is best known for his theoretical and empirical contributions to portfolio theory and asset pricing. Currently, he is the Robert R. McCormick Distinguished Service Professor of Finance at the University of Chicago Booth School of Business. Fama’a notable publications include his PHD Adjustment of Stock Prices to New Information” in the 1969 edition of the International Economic Recently, he published a series of controversial papers that contradict the Capital Asset Pricing Model.

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INDUSTRIAL HISTORY

1833

1895

The nation

The City of Chicago was incorporated as a United States

and race was held in Chicago. O 12 vehicle were displ but the sho marked the of Chicago auto indus

extinguished Indian land claims in the state of Illinois, thereby eliminating the fur trade

1820

1830

1840

1860

1862

1895

Chicago replaces Cincinnati, OH as the nation’s meat packing capital. The City became known as “porkopolis.”

Schwinn is founded in Chicago, quickly becoming the domina American bicycle manufactu

1870

1770’s - 1833

1850’s - 1860’s

Before incorporation as a US town, the Chicago settlement’s economy was driven by the success of the fur trade.

The beef and pork industries took over Chicago’s economy, growing into the like Gustavus Swift and Phillip Armour, helped the City became the largest producer of meat products in the world. contributed to Chicago’s success because a far reaching transportation system had been built to facilitate the movement of goods and supplies to advantage over other cities - the use of ice to extend the months of operation.

1880

1890

1900

1895 - 197

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Present Today, Chicago enjoys one of the world’s largest and most region employs nearly 4 million workers, and is home to over 400 corporate headquarters headquarters.

n’s

The key industries that drive Chicago’s modern economy

n Only es layed, ow e start o’s stry.

services, manufacturing, biotechnology, information technology, health, and transportation and distribution.

1895 - 1949 Although automobile manufacturing in Chicago was never as dominant as in Detroit, it drove Chicago-based company was closed in 1949. Between 1896 and 1918, the auto industry was at its height, assisted by a far-reaching transportation system. During this time, Chicago was home to 28 manufacturers,

s n

ant

By WWI, the automobile industry in Chicago had already begun to decline. By 1949, the end of the industry’s heyday was marked by the closure of the Torpedo factory after producing

urers.

1910 1930 1920

1940

1960

1970

70’s The bicycle industry in Chicago grew from the point when Schwinn born mechanical engineer, Ignaz Schwinn. In 1992, the company company’s product was no longer able to compete with Japanese and European manufacturer’s. Between the 1960’s and 1972, bicycle manufacturing reached an all-time high, with bike sales doubling over a period of two years beginning in 1970.

1980

1990

2000

2010

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CHICAGO ECONOMIC DRIVERS

Chicago Gross Regional Product 2011 (total: 510.2 billion)

0.05% 8.39%

0.20%

3.11%

1.28%

2.61%

12.65%

2.64% 0.95% 6.96%

7.22% 1.58% 3.47% 5.70%

2.71%

3.33% 9.78%

3.41%

10.43% 13.50%

Agriculture, Forestry, Fishing & Hunting

Mining

Utilities

Construction

Manufacturing

Wholesale Trade

Retail Trade

Transportation & Warehousing

Information

Finance & Insurance

Real Estate & Rental & Leasing

Professional, Scientific, & Technical Services

Mgmt. of Companies & Enterprises

Admin. & Support & Waste Mgmt. & Remediation Services

Educational Services

Health Care & Social Assistance

Arts, Entertainment, & Recreation

Accommodation & Food Services

Other Services (except Public Administration)

Public Administration

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dominated by service industry.

Composition of Chicago Regional Product Tourism Health Care & Social Assistance Admin. & Support Services Headquarters Professional Services Real Estate Financial services Information & Media Transportation & Warehousing Retail & Consumer services Nondurable Manufacturing Durable Manufacturing Construction Utilities

0% 2010

5% 1980

10%

15%

20%

Organization Chart COMPREHENSIVE ANNUAL FINANCIAL REPORT2012

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REAL ESTATE & RENTAL & LEASING

MANUFACTURING

Top Industries by Jobs of each Community area