The Covid-19 pandemic has brought about significant changes in where and how we work. Many companies have adapted to remote work, leading to a rise in hybrid work models and a reduced demand for office spaces. While it’s unclear how many people will continue to work from home, evidence suggests that working remotely is leading to some unexpected side effects that could affect large cities.
Some people believe that the trend toward remote work will lead to a decline in large cities, but there is evidence to suggest otherwise. In fact, people who work from home may be spending more time in their local communities, improving their quality of life. Additionally, remote workers still need to interact with colleagues in person occasionally, which means they may prefer to live in or near larger cities.
However, remote work will likely lead to a shift away from city centers and toward more affordable housing in less central locations, a trend referred to as the “doughnut effect.” This effect is already being observed in areas where workers are returning to the office part-time, suggesting that people are willing to accept longer commutes for cheaper housing as long as they don’t have to commute every day. This could benefit declining small cities located near larger metropolitan areas, as remote workers seek affordable housing and create a market for urban amenities in these areas.
While Zoom and other videoconferencing apps have not made cities obsolete, the pandemic has permanently changed the urban landscape. Workers may not return to the office full-time, but remote work has led to unforeseen changes that will impact where and how we live.
