Tag: Minneapolis

The Bright Side of the Blight Side of Minneapolis

As we know, the 55411 zip code, which is in Minneapolis’ 5th Ward on the north side of the city, has the most depressed economic system in Minneapolis. It has the highest concentration of condemned and vacant buildings; it has the second highest concentration of foreclosures (the 4th Ward has the most); it has the highest unemployment rate in the city; and it has the second highest crime density in the city (the 3rd Ward has the highest).

But we also know from our previous articles that the 55411 zip code is a subsystem of the Minneapolis system. This means that the 55411 satisfies the (3) systems’ axioms:

  1. A system consists of a set of elements.
  2. Elements in a system interact.
  3. A system has a function, or purpose.

It has a system’s boundary and behavior (how a system’s performance changes over time) for which condemned and vacant buildings, foreclosures, the unemployment rate, and crime are all examples of in this economic system. But how does the systems’ behaviors of educational attainment of the 55411 zip code compare to the educational attainment of Minneapolis?

Do the residents of the 55411 experience greater earnings with greater attainment of education? Is it the case that a person from the north side zip code would earn more with a college degree than a person from the north side without a college degree? Is there a correlation between education and earnings in the 55411 zip code?

Graph 1

As Graph 1 of the Minneapolis system illustrates, there is an obvious increase in wages as a person’s education increases. That is, the odds are good that a person with a high school diploma will make more than a person with less than a high school education; a person with some college will more than likely make more than a person with a high school education; a person with a college degree will more than likely make more than a person without a college degree; and a person with a graduate level education will more than likely make more than a person with only a college degree.

And so the question is, will the 55411 zip code follow this system’s behavior? Indeed it will.

Graph 2

Considering the sensitivity of the marketplace on the north side, this is really remarkable. And despite the number of adverse economic conditions in the 55411 zip code, education is still a game changer. The question is now, would this behavior remain stable during a great recession just like a few years ago? And would Minneapolis policy makers utilize this data?

Indeed there are obvious differences in earnings from educational attainment between the 55411 and Minneapolis. But the fact remains, this is a bright side to blight side of Minneapolis.

 

Matt Johnson is a blogger/writer for The Systems Scientist and the Urban Dynamics blog. He has also contributed to the Iowa State Daily and Our Black News. Matt has a Bachelor of Science in Systems Science, with focuses in applied mathematics and economic systems, from Iowa State University. 

You can connect with him directly in the comments section, and follow him on Facebook

You can also follow The Systems Scientist on Twitter or Facebook.

 

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Copyright ©2017 – The Systems Scientist

Minneapolis: How do we partition a city into sub-systems?

By Matt Johnson

So far we’ve established the (3) systems’ axioms; we’ve touched on the notion of systems’ boundaries by using examples of cities; and we’ve established what a system’s behavior is by analyzing the labor force, average weekly wages, and unemployment rate of Minneapolis. Today, we are going to begin to partition the Minneapolis system into its respective subsystems and we are going to do it by ward.

In the next blog, we will decompose Minneapolis by zip-code. And in a future article, we will decompose Minneapolis’ wards into their respective subsystems – neighborhoods – which will introduce us to the notion of systems’ levels.

Minneapolis is a city with 413,651 residents as of July 1, 2016 according to the U.S. Census Bureau. Furthermore, those 413,651 residents obviously live in different parts of the city. Those parts of the city are called wards and Minneapolis has 13 Wards. According to Minneapolis City Government data, each ward contains about 32,000 residents, which of course varies every few years.

This means that each ward in Minneapolis contains about 32,000 residents; those residents interact with each other; and each ward has a function, which in this case is to provide political opportunity in voting and representation, and allocation of resources.

Thus, we have just shown that all 13 wards in Minneapolis satisfy the (3) systems’ axioms:

  1. A system consists of a set of elements.
  2. Elements in a system interact.
  3. A system has a function, or purpose.

Besides illustrating that these 13 wards are systems, we have also established that these wards are themselves subsystems of the general system of Minneapolis. This is because we have shown they satisfy the systems’ axioms, they are contained within Minneapolis, and they have established boundaries, i.e., political boundaries.

And this is a great place for us to dig a little deeper into the notion of boundary. Boundaries can be fuzzy or concrete; and boundaries can be regular or irregular. In the case of political boundaries, which are the wards we are observing, they are concrete and irregular. If we look at any of the 13 wards in Minneapolis, we can observe that the boundaries of the wards are well-defined, i.e., concrete. And we know this is because of the Minneapolis City Charter. But we can also observe that these boundaries are irregular. That is, they are not squares, rectangles, triangles, or circles.

In this short blog, we established that these 13 wards are subsystems of Minneapolis. We also established, with the help of the map, that the boundaries of these wards are concrete and irregular. As we keep moving forward, we will see that our new-found knowledge of systems will pay dividends when we begin to compare and contrast the different wards, neighborhoods, zip-codes, and other Minneapolis subsystems. And we will do this by adding a new tool to our systems’ took-kit – systems dynamics.

Let us now, as we have done before, attempt to disprove our systems’ notions and work in the tradition of natural philosophy until the next blog.

 

Matt Johnson is a blogger/writer for The Systems Scientist and the Urban Dynamics blog. He has also contributed to the Iowa State Daily and Our Black News. Matt has a Bachelor of Science in Systems Science, with focuses in applied mathematics and economic systems, from Iowa State University. 

You can connect with him directly in the comments section, and follow him on Facebook

You can also follow The Systems Scientist on Twitter or Facebook.

 

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Copyright ©2017 – The Systems Scientist

 

Minneapolis: How is the city’s economic system performing?

By Matt Johnson

Over the past couple of blogs, we have illustrated the power of the (3) systems’ axioms (we will review the axioms very shortly) and we have introduced the idea systems’ boundaries. But in our quest to understand what a system is and how we can use system’s knowledge to find real-world applications, we must endeavor to keep testing the validity of our ideas while we add new notions to them.

In today’s blog, we will test the idea of an economic system against our (3) axioms with respect to Minneapolis. We will do this by introducing the notion of systems’ behavior via data and graphical representation. And in doing so, we will ask three questions to facilitate this discovery. First, does Minneapolis satisfy the (3) systems’ axioms? Second, does an economic system satisfy the (3) systems’ axioms? And third, what is systems’ behavior?

In our previous blog, we illustrated that Chicago satisfied the (3) systems’ axioms:

  1. A system consists of a set of elements.
  2. Elements in a system interact.
  3. A system has a function, or purpose.

That is, Chicago consists of a set of elements in the form of approximately 2.7 million residents. Chicago’s residents also interact with each other in various ways on a daily, hourly, minute, and second basis. And one of Chicago’s functions is the ability to increase utility and stability while decreasing crime and instability.

Thus, homicides are concentrated in specific neighborhoods and so it follows that the economic, political, and social systems will behave much differently in the Austin neighborhood, which has experienced 43 homicides this year, than they do in the Edison Park neighborhood, which experienced no homicides this year, for example.

Using the template that we used for Chicago, we can illustrate that Minneapolis will also satisfy the (3) systems’ axioms. This is because we know from U.S. Census data that Minneapolis had 413,651 residents as of July 1, 2016, which is our set of elements.

Graph 1

We also know that residents interact with each other in various ways. And finally, we can think of a half-dozen possible functions that Minneapolis might have. For example, we can think of three economic variables that will tell us if utility is increasing or decreasing in Minneapolis: labor force, wages, and unemployment. We know that these three variables can be systems’ functions. Thus, our (3) systems’ axioms are satisfied once again.

Now we can show if an economy is an economic system in a few different ways, but in this case we will use a similar approach to that of our city examples.

Indeed, not all of the 413,651 residents participate in the marketplace. In reality it is those residents who are 16 years of age and older. And frankly, that’s all that is needed – a set of market participants. It could be 50 percent of the population. Those 50 percent, or 200,000 and some, are a set of elements.

In addition, these participants interact with each other various ways. Some of the participants are employees; some participants are even unemployed; and some participants are business owners. No matter the capacity of these participants, they are still interacting in the marketplace in one form or another. The point here is that they are interacting.

Graph 2

And finally, does the economic system have a function? If Adam Smith and his books The Theory of Moral Sentiments and The Wealth of Nations are to be a guide, than economic utility (stability and vitality) is to be the main function of an economic system.

Indeed, this notion of economic system is more abstract, but the (3) systems’ axioms are still satisfied.

Now if economic utility is our function and we want to illustrate that function for everyone to see, how do we do it? Simple. We’ll do it graphically via data.

As we stated before, the functions of the Minneapolis system are labor force, wages, and unemployment. We also stated the function of the economic system is utility. Adding in the title of this blog How is the city’s economic system performing? we can now address the systems’ functions and question in one sitting through the notion of systems’ behavior.

Systems’ behavior – how a system’s performance changes over time – will tell us how a system is performing. In other words, if the economic system of Minneapolis is performing well, then we ought to expect to see an increase in the labor force, an increase in wages, and a decrease in unemployment over time.

Graph 3

However, if the economic system of Minneapolis is not performing well, then we ought to expect to see a decrease in the labor force, a decrease in wages, and an increase unemployment over time. For sure there are other economic variables we could consider, but for now, and for brevity, we will concentrate on these three variables.

If we take a look at Graph 1, it will tell us how the labor force of Minneapolis has been behaving over the past decade. So what are we observing? What is the graphical data telling us about the labor force in the economic system of Minneapolis?

Well, we are seeing a steady, albeit stochastic (probabilistic), increase over time, correct? Aren’t we observing an increase of about 20,000 participants in the labor force since January of 2007? If our observations are correct, we are seeing an economic system that is performing well in regards to the labor force over time.

What do we see when we observe the wages of Minneapolis in Graph 2? Doesn’t it appear that the average weekly wages for Minneapolis have increased by about $300.00 since the 1st Quarter of 2007? If so, then we are observing an economic system that is performing well in regards to wages over time.

And finally, what do we see when we observe the unemployment rate of Minneapolis in Graph 3? We see the unemployment rate decreasing from more than 8 percent in early 2009 to a little more than 3 percent in late 2016. Again, and just like the first two variables, we are observing an economic system that is performing well in regards to unemployment over time.

So with respect to the systems’ functions of the Minneapolis system, the systems’ behaviors via our graphical representations of the labor force, wages, and unemployment are telling us that the economic system in Minneapolis has been increasing in utility for the residents of the city, in general, for some time now.

Thus, we have shown that Minneapolis is a system, the city has an economic system, and that the economic system is performing well based off our established parameters.

Let us now, as we have done before, attempt to disprove our notions (systems axioms, boundaries, and behaviors) and work in the tradition of natural philosophy until the next blog.

 

Matt Johnson is a blogger/writer for The Systems Scientist and the Urban Dynamics blog. He has also contributed to the Iowa State Daily and Our Black News. Matt has a Bachelor of Science in Systems Science, with focuses in applied mathematics and economic systems, from Iowa State University. 

You can connect with him directly in the comments section, and follow him on Facebook

You can also follow The Systems Scientist on Twitter or Facebook.

 

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Copyright ©2017 – The Systems Scientist

Comparing Minneapolis wages to wages in North Minneapolis

TSS Admin

As Aristotle explored in his Metaphysics: Book Delta, the parts of something, say the parts of a city, are divisions of the whole that can be differentiated from one another by quantification or by qualification. In the sense of quantifying, North Minneapolis can be differentiated from Minneapolis by observational data, for example, unemployment rates, education rates, and wages.

In the sense of qualifying, North Minneapolis can be differentiated by recognition of area. But it should be noted that the geography of North Minneapolis is still the geography of Minneapolis. It is just a recognition of a specified area, which is not Northeast Minneapolis, South Minneapolis, or Southwest Minneapolis.

Furthermore, North Minneapolis is broken down further by quantification and qualification into area codes: 55411 and 55412. Thus, the 55411 and 55412 zip codes are distinguishable by name and specific geography, this is obvious, and by observational data.

For example, previous articles in this blog have shown the 55411 zip code to be the zip code with the highest number of reported crimes in North Minneapolis; whereas, previous articles in this blog have shown the 55412 zip code to be the zip code with the highest number of foreclosures over the past decade.

Graph 1

Utilizing this systemic approach, the wages between Minneapolis and North Minneapolis, specifically the 55411 zip code, can be differentiated and analyzed.

Thus, are the dynamics of the wages (how wages change over time) shown to be relatively equal to one another? Are the dynamics of the wages of the 55411 zip code shown to be greater than Minneapolis? Or are the dynamics of the wages of the 55411 zip code shown to be less than Minneapolis?

As Graph 1 illustrates, we can see that the wage rate of Minneapolis is steeper than the wage rate of the 55411 zip code in Graph 2. And we’re not just eyeing this. We can see this distinctly via the linearization equations in Graph 1 and Graph 2.

The linearization equation in Graph 1 (y = 6.4152x + 1083.1) shows a rate of 6.4 and the linearization equation in Graph 2 (y = 2.2805x + 823.6) shows a rate of 2.3, if both rates of change are rounded-off. Obviously, 6.4 is greater than 2.3, and by quite a bit. Why is this important?

Graph 2

Dynamically (how wages change over time), this shows the wages of Minneapolis are growing at a greater rate than the wages of the 55411 zip code. Of course, these equations also show that the average weekly wages of Minneapolis are between $250 and $300 higher than the 55411 zip code.

This little bit of information ought to provide policy makers with some much-needed direction to create and apply economic policy. Of course the operative modal verb is “ought to.”

So do you think local policy makers would consider differentiating between the part and the whole when creating economic policy? Or do you think local policy makers would just create and apply the same policy for both the part and the whole?

 

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Copyright ©2017 – The Systems Scientist

Has the number of business establishments in Minneapolis increased since 2006?

Analyzing data always provides interesting insights. For example, a simple analysis of establishment (business) data from the Minnesota Department of Employment and Economic Development (DEED) reveals some fascinating insights into the systems dynamics – a system changing over time – of the Minneapolis marketplace with respect to business firms.

As the data, Graph 1, reveals, the number of establishments, or businesses, in Minneapolis has been decreasing for at least the past 10 years. Why is this so? This blog will not venture into such speculation. This is because the system’s perspective is limited to only establishment data. A multivariate perspective (multiple perspectives) is needed to find such possible reasons.

 

Graph 1

As Graph 1 illustrates, the number of firms per quarter has been decreasing since at least 2006. And although this rate has been variable, which is to be expected because the marketplace is probabilistic, the overall trend has been negative.

Furthermore, this overall negative trend can be shown in a couple of different ways. First, it can be illustrated via linearization. As Graph 2 shows, the overall trend is negative. That is, the Minneapolis marketplace decreased in the total number of establishments between the 1st Quarter of 2006 and the 3rd Quarter of 2016.

Graph 2

It should be noted that the linearization seen here is not the same linearization as in dynamical systems. In dynamical systems, linearization is an approximation “to a function at a given point.” Obviously this is not the case here.

Again, the main idea to take away from linearization, in the way it is used here, is the overall trend of the graph – did the marketplace gain businesses over the period stated in Graph 2, did the marketplace lose businesses over the period stated in Graph 2, or did the marketplace remain about the same over the period stated in Graph 2?

And finally, the marketplace behavior of business establishments in Minneapolis can be illustrated through Vector Algebra. Yes! That’s right – Vector Algebra. In this case, there will be no math included, just an illustration of direction via Graph 3, so there is no reason to be alarmed.

Graph 3

As Graph 3 shows, the overall dynamics, or vector, of the marketplace is negative in regards to the number of establishments from the 1st Quarter of 2006 through the 3rd Quarter of 2016. And the vectors, those letter “a’s” with the hats over them, further illustrate a greater decrease in total establishment between the 1st Quarter of 2006 and the 3rd Quarter of 2010 than between the 3rd Quarter of 2010 and the 3rd Quarter of 2016.

Of course, these vectors could further be broken into smaller vectors. But the way the algebra works, each vector that is computed in this system should add up to the overall vector, which is negative. Thus, this decomposition of the system behavior provides a more conclusive way of viewing the dynamics of this particular system than how linearization is being used here. And the vector idea, along with the math, supports the initial observation. That is, the total number of establishments in the Minneapolis marketplace has decreased since at least the 1st Quarter of 2006.

So how does this market behavior compare to the county or state level? How does Minneapolis compare to the zip codes that reside within it?

And another interesting question to ask one’s self is, has employment increased, decreased, or stayed the same in Minneapolis? And what does this mean for the number of employees per establishment?

 

Matt Johnson is a writer for the Urban Dynamics blog; and is a mathematical scientist. He has also contributed to the Iowa State Daily and Our Black News.

You can connect with him directly in the comments section, and follow him on LinkedIn or Facebook

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Copyright ©2017 – The Systems Scientist

 

A quick view of an economic system

By Matt Johnson

In this short blog, I will illustrate one way an urban dynamicist, i.e., systems scientist, looks at an economic system and its data.

Diagram 1

Diagram 1 is hierarchical, derives from the U.S. Census Bureau, and represents a few of the many levels of an economic system. Moreover, each level of the economic system in Diagram 1 is further a sub-system, or sub-economy, of the general United States economy.

This means that a zip code, for example, can be examined as an economic system, and then it can be compared and contrasted with a city’s economic system. And this examination will illustrate similarities and differences between a sub-system, a zip code, and a general system, a city, for instance.

Thus, an urban dynamicist can partition out each level of the economic system and analyze each level as a distinct entity, although one system is still a sub-system of the one superior to it in the hierarchy. Within each level, differences, relationships, perspectives, dynamics, and models can be examined through data.

As stated before, each level of the system can be analyzed against the other levels of the system through data, because data provides a picture at each level of the system. For example, the State can be illustrated and compared to the Division, Zip Code, or Census Tract via crime densities, demographic comparisons and migration patterns, and economic variables such as median household incomes, unemployment rates, the labor force and labor participation rates.

Here is the stochastic (probabilistic) behavior of the labor force in Minneapolis over the past 10 years as seen here in Graph 1.

Graph 1

And here is the stochastic (probabilistic) behavior of the Minnesota labor force over the past 10 years as illustrated in Graph 2.

Future articles will delve deeper into the specifics of the behavior and dynamics of these two systems and their respective data sets. For now, the main point is that data can provide a picture of the economic systems at their respective levels of the system.

One last thought, Diagram 1 does not illustrate the interactions or dynamics that take place within each level of the system by itself, nor does it account for a lot of things. This is why the data is needed. So assumptions and conclusions should be limited.

As this focus on data continues, I will be utilizing the hierarchical model and other systems models to help illustrate and explain how economic systems can be better understood. In addition, I will be using systems theory along with applied mathematics to explore the complexity of systems. But I will also be working diligently and meticulously to convey this information to you the best I can.

As I get better at explaining this stuff to you, I hope your knowledge of systems, mathematics, and economics increases as well.

 

Matt Johnson is a writer for the Urban Dynamics blog; and is a mathematical scientist. He has also contributed to the Iowa State Daily and Our Black News.

You can connect with him directly in the comments section, and follow him on Facebook

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Copyright ©2017 – The Systems Scientist

 

 

Nekima Levy-Pounds doesn’t have a plan

By Jamar Nelson

Nekima is not only strong but arrogant and sometimes confuses her strength for brute. Nekima can definitely call people together, sometimes speak to their hearts, and on occasion say what many people won’t or are afraid to say. Great!

Gathering people is cool, but it needs to be done for the right cause, i.e., jobs, housing, business, and crime. One example of a cause that needs to be addressed is, how black on black crime is concentrated and rising at an astronomical rate on the north side of Minneapolis. It is not only destroying lives, but it is driving down the value of homes and taking innocent lives. Not to mention, it is adding to the already increasing rates of non-white males in the prison system. However, instead of addressing the issues, she will blame it all on the white man. Talking about black on black crime is not “doing the white man’s work” as she often says.

I’m not okay with the fact that she never wants to talk about black on black crime. Why I do I believe it is important for her to talk about black on black crime? It’s important because crime affects jobs, housing, businesses and the community.

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This issue is becoming not only redundant but more incredibly serious when you’ve had over 200 shootings in 2016; for which, the majority of these have been black on black or non-white on non-white. We know this because Minneapolis is still fairly segregated and the shootings are taking place in predominantly non-white neighborhoods. A candidate has to talk about it, have a plan for it, and be willing to discuss it with concerned constituents. With this said, one can only guess that 2017 will be the OK Corral.

So what would 2018 look like with Nekima Levy-Pounds at the helm? My guess it will be as cataclysmic as tornadoes.

Speaking of tornadoes, remember the tornado that hit North Minneapolis? Since then minority homeownership has gone down and she has never addressed this reality. Why is this important? It is important because if a man owns his own home he is less likely to break into another man’s home. This is because he has worked hard to earn and maintain what he has.

Here’s something else to consider regarding renting versus owning. Renting is at an all-time high! What’s her solution to increase minority home ownership? Once again she hasn’t addressed this reality and come out with a plan to change this reality.

As for entrepreneurship, why isn’t she talking about more minority-owned businesses in North Minneapolis and other parts of Minneapolis? What kind of policies could she put forth to rectify and increase minority business? This is important because businesses create jobs in the community. It’s also important because if a person has a job and learns there is dignity in work, he is less likely to rob another for what he has because he himself has worked hard to earn his coin. Yet again what’s her plan?

How about crime? The crime rate drastically brings down the value of someone’s home and as a homeowner why should he or she have to deal with the devaluing of their home due to nothing of their doing but only because of the crime in the neighborhood? Where is she on crime? What’s her plan?

Similarly, what is her plan about policing the communities? She would tell you she has had a positive affect on operations within the Minneapolis Police Department. I would so beg to differ. I don’t know one thing she can point to that she has changed for the better in the operations in the Minneapolis Police Department. The only thing she has done is added fuel to an already divisive fire. Once again what’s her plan?

Minneapolis is a multicultural city and it shows in the neighborhoods around the city. A Mayor must represent and reflect that as well. I have no doubt she will not because she doesn’t have a plan!

 

Jamar Nelson is a guest writer for The Systems Scientist. He is also a co-host of The Black Republican/Black Democrat Show on Twin Cities News Talk in Minneapolis, MN. He is a loyal Democrat and Dallas Cowboys fan.

 You can connect with him directly in the comments section, and follow him on Twitter or on Facebook

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