Economic Growth and Development in Atlanta, Essay Example

Atlanta, Georgia is a populous city with more than 400,000 inhabitants that is well known for its corporate operations, railroad logistics, media, and information technology prowess. In fact, the Atlanta metropolitan area has a $304 billion economy, making it the 8^th largest economy in the country (Pricewaterhouse Coopers, 2009). Atlanta’s involvement in the railroad industry will be focused on because it is this mode of transportation that allowed Atlanta to become the successful city that it is today. The first railroad was built in Atlanta in 1836 as a part of Georgia’s decision to connect the state to the Midwest. Quickly after, the town became a hub for the entire South. In modern times, the city remains a hub for many travelers and goods and holds major classification yards for Norfolk Southern and CSX (Allen, 1996).

Atlanta’s ability to exchange goods frequently and rapidly with the rest of the country is a major contributor to its strong economy. It is a principle city that evolved primarily due to its connection with the Midwestern states. Interest in this hub encouraged the state to further develop the railroads in the area which contributed to an increase in the number of shipping jobs available in the area. Once Atlanta became an urban area, its size grew exponentially because many corporations became interested in taking advantage of the railroads to increase their ability to quickly exchange goods, therefore allowing their profit to grow.

Once the first few firms opened for business in Atlanta, firms began to cluster to take advantage of the agglomeration economy and the proximate natural resources. The high population density of Atlanta compared to the size of the city made it extremely simple for these corporations to find suitable workers in addition to customers for their product locally. Furthermore, shipping products and services out to individuals or distribution centers in other states would be simple due to the constant availability of the railroad system.

Although the railroad system remains a major factor that contributes to the city’s economy, its status as a train hub has also allowed it to evolve into a hub for airplanes as well. As a consequence, Hartsfield-Jackson Atlanta International Airport has been named the world’s busiest airport. Unlike many airports around the country, Atlanta’s airport has services that accommodate passengers and cargo. Interestingly, the airport even attracts diplomatic missions, which reinforces the business and economy of the city.

While some may argue that Atlanta is primarily successful due to its corporate operations, it’s imperative to stress that these corporate operations are possible due to the city’s status as a transportation hub. When the area built its first railroad, it immediately detected a population growth that resulted in a bolstered economy. Now, approximately 150 years later, we are still able to reserve the economic growth that Atlanta experiences due to its accessibility and status as a center of trade. Because of the railroads, employment rates are high which leads to human capital investments which contributes to even further economic growth. It is therefore recommended that cities who wish to advance their economy allow themselves to become more accessible by various forms of transportation. This will attract industry and provide jobs which will help the economy grow.

References

Allen, Frederick (1996). Atlanta Rising. Atlanta, Georgia: Longstreet Press.

Pricewaterhouse Coopers. (2009). Global city GDP rankings 2008–2025. Retrieved from http://archive.is/8Sf0