Growth Ponzi Scheme - Top Content

"The Growth Ponzi Scheme" - Introduction

The Growth Ponzi Scheme is the way in which we have developed so many of our modern American cities, and it is bankrupting us. This extended series represents essential reading for anyone wanting to understand the need for a Strong Towns approach. Start with the introduction and then read parts 1–5 below for the full story.

Part 1 - Part 2 - Part 3 - Part 4 - Part 5

"America’s Growth Ponzi Scheme"

This article is an updated version of the Growth Ponzi Scheme introduction above.

"The Growth Ponzi Scheme: A Crash Course"

This summary post links to case studies, examples, and other tools for understanding the Growth Ponzi Scheme.

"This Ponzi Scheme Might END Suburban Prosperity" (Video)

The Growth Ponzi Scheme, also called the "Municipal Ponzi Scheme," is a core Strong Towns insight describing the financial characteristics of post-war North American growth patterns. In the Growth Ponzi Scheme, municipalities receive the modest near-term financial benefits from new development in exchange for the larger long-term financial commitments of providing ongoing service and maintenance.

The Growth Ponzi Scheme is not nefarious; there is not a specific individual or group that has created it for their own benefit. It has emerged from a broad cultural consensus about economic growth, development patterns, and debt. So what can you do?

"What should my city do about our infrastructure backlog?"

Once you understand the Growth Ponzi Scheme, now it's time to apply that understanding to future decisions in your city. This article offers a good place to start.