A Questionnable Proposition for Boerne's River Road

June 26, 2008
1018 River Road Retail Center

On the one hand we have Boerne's RUDAT effort to help envision and realize a positive direction in the development of Boerne's future.

On the other hand, and at the same time, we have to be mindful that the forces of capitalism will encourage business people to move forward with plans that might not have as positive of an impact as would efforts such as RUDAT.

Take the retail center being planned for 1018 River Road, for example. This center is, no doubt, pursued by well-meaning individuals who have as much right to seek profit as anyone. But thanks to my thorough curriculum in economics during my 4-year career at Texas A&M, I am acutely aware of the phenomenon of externalities. These are the nasty side effects of capitalism that markets have not traditionally dealt with effectively. An externality is usually something that results from the collective behavior of the many, negatively impacts us all, and for which no individual feels necessarily compelled to change her behavior. Take pollution. As an individual, I know I alone can make very little difference in the overall level of air pollution by changing my behavior, especially when I consider that few others will likely follow suit. So my incentive to change, then, is pretty minimal. Hence, we rely on good government to devise a way to effectively step in and create alternative incentives. Helping to curb externalities is a major role of good government.

Today we are dealing with this externality called "architecture that fails to meet the standards of Boerne's more enlightened planners". No single developer, engineer or real estate professional may feel the incentive to make a decision which would benefit our population, knowing other developers may fail to follow their lead. Why suffer the expense? So good government has a chance to shine.

We're fortunate to have a mayor like Dan Heckler to take the lead, to work hand in hand with the developer, and to work toward designing and constructing a retail center more worthy of our great town.

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