Editorial: Recession-proof Pittsburgh

‘ ‘ ‘ Like a phoenix born again from its own ashes, the city of Pittsburgh has managed to… ‘ ‘ ‘ Like a phoenix born again from its own ashes, the city of Pittsburgh has managed to reinvigorate its economy after the collapse of the once-thriving steel industry. Ironically, this restructuring of Pittsburgh’s economy, which began nearly 30 years ago, has now provided it with a relative immunity from the current economic recession. ‘ ‘ ‘ According to The New York Times, while other cities’ major industries continue to lay off workers, apply for government assistance and are on the brink of shutting down, Pittsburgh jobs are comparatively safe. At 5.5 percent, Pittsburgh’s unemployment rate is well below the national average, which is currently projected at 7 percent. Likewise, housing prices have remained stable, leading many experts to wonder if Pittsburgh could serve as a model to cities currently feeling the effects of the recession. ‘ ‘ ‘ Cities like Detroit, which has an economy almost entirely reliant on the now-withering automobile industry ‘mdash; much as Pittsburgh was solely reliant on steel throughout most of the 20th century ‘mdash; could deindustrialize their economies in a similar fashion to Pittsburgh initiatives after its steel industry collapsed in the early ’80s. ‘ ‘ ‘ Without the steel industry, Pittsburgh was forced to turn to other sectors of industry, including education, health care, computer software and biotechnology ‘mdash; all areas relatively resistant to economic fluctuations. ‘ ‘ ‘ This transition was not slow or easy, though. Even a decade ago, the city was suffering from a high unemployment rate, with many hoping the steel industry would revive itself. ‘ ‘ ‘ Eventually, the Pittsburgh economy adapted and rebounded ‘mdash; along with its work force. While some unemployed steel workers fled the city after the steel collapse, others stayed in the ‘Burgh, entering into technology training programs to qualify them for jobs in the education and health care sectors. ‘ ‘ ‘ Though, with only a few exceptions, Pittsburgh has not been negatively affected by the economic recession, is it appropriate to single the city out as a model for Detroit and other cities suffering from the collapse of their primary industries? ‘ ‘ ‘ The short answer is yes and no. The current structure of Pittsburgh’s economy, which relies on a multitude of industries instead of only one, has allowed the city to sustain itself. As such, it would make sense that a city like Detroit would consider redistributing its economy over more sectors, notably health care and education, which aren’t typically affected negatively by economic downturns. ‘ ‘ ‘ However, to say Pittsburgh is a perfect city is far from true. While rated ‘Most Livable’ by Places Rated Almanac in 2007, the city remains in debt, with a struggling public transportation system and high property taxes. ‘ ‘ ‘ Pittsburgh’s strength through the economic recession can now provide it with a unique opportunity: As other cities flounder, now is the time to bring new workers and life into our city. Since its steel heyday, Pittsburgh has struggled to regain its status as a leading industrial metropolis. Now is Pittsburgh’s time to show that it cannot only sustain these economic fluctuations ‘mdash; but that it can thrive.