ABSTRACT
This chapter addresses some of these issues and draws out their implications for economic development policy in New York in the 1990s. It looks at selected long-term trends that contributed to reshaping New York City during the 1980s, focusing in particular on its role as a national and international headquarters center, on the transformation of Wall Street, and on competition with its suburbs. The chapter discusses whether New York's recent slowdown reflected a mostly cyclical downturn or rather a structural crisis brought about by the onset of selected local, national, or international forces. The rationale for adding firms headquartered in the suburbs is their reliance on advanced services offered by firms located in New York downtown and midtown areas. Another important development that has reshaped New York during the 1980s has been the transformation of Wall Street. Perhaps more worrisome for the future is the continuing transformation of the relationship between New York and its suburbs.
