Could Silicon Valley Become the Next Detroit?
newsweek.com
newsweek.com
Will the current macro-level forces turn Silicon Valley into the next Detroit?
The current issue of The Atlantic has a more interesting article on this called "How The Crash Will Reshape America." You can read it here: http://www.theatlantic.com/doc/200903/meltdown-geography
That author argues the exact opposite. The most interesting idea he talks about (IMO) is this: Every phase or epoch of capitalism has its own distinct geography, or what economic geographers call the “spatial fix” for the era. The physical character of the economy—the way land is used, the location of homes and businesses, the physical infrastructure that ties everything together—shapes consumption, production, and innovation. As the economy grows and evolves, so too must the landscape.
He points to a less suburban future, where mega-regions dominate the geo-financial landscape. Silicon Valley is right at the heart of one of those mega-regions.
The data is pretty anecdotal -- an Indian PhD who says India now offers a better chance at success for his children than the US and a $5MM grant to a research program in China to fund nanotechnology research -- but it's interesting food for though.