Does being the most liveable city in the world mean anything?

EIU's ten "most liveable" cities in the world (scores out of 100)

The good thing about ‘winning’ the World’s Most Liveable City gong is that it might help market Melbourne to overseas tourists, students, investors and maybe even buyers of our services. Unlike the Grand Prix, it costs us nothing. And while it won’t stop some Melburnians from pissing in trains (like this guy in case you missed him in yesterday’s post), it might give many others greater pride in their city. The thousands of Melburnians who travel overseas for business or pleasure each year can now be ambassadors for their city with this neat and handy marketing tool.

But of course league tables like The Economist Intelligence Unit’s (EIU) annual Liveability Survey are all bunkum and sensible people shouldn’t be sucked in. The EIU’s Survey purportedly provides an objective ranking of world cities based on 58 variables measuring dimensions like political stability, health care, environment, culture, education and infrastructure. However, as I’ve explained before (here, here and here), there are a number of reasons why liveability league tables are best left to the marketeers.

The EIU’s Survey is designed primarily to assist companies with formulating appropriate living allowances for staff posted to overseas cities. These people are transitory and well-heeled – they don’t experience the city like the average permanent resident. They usually rent somewhere convenient and salubrious, so they won’t care too much about high housing prices and inadequacies in outer suburban public transport.

There are also difficult methodological problems involved in arriving at a single summary ranking of a city’s “liveability”. These sorts of surveys typically have lots of variables – some are easy to measure, others are very subjective. The analysts often make the convenient but unrealistic assumption that they’re all of equal value (weight). Not all of them can be ‘added’ together in any meaningful sense, yet they have to be to arrive at a simple league table.

The differences between top cities in these sorts of surveys are in any event miniscule and hence of little consequence. For example, the top five ranked cities in the EIU’s survey all scored 97 points out of 100 (see exhibit) – this would be swamped by the margin of error in the estimates. The EIU acknowledges that “some 63 cities (down to Santiago in Chile) are considered to be in the very top tier of liveability, where few problems are encountered…. Melbourne in first place and Santiago in 63rd place (can) both lay claim to being on an equal footing in terms of presenting few, if any, challenges to residents’ lifestyles”.

Defining “liveability” is itself a difficult challenge (I’ve discussed this before in the context of the ‘Sydney vs Melbourne’ debate – see here and here). The EIU finds the concept so slippery it comes up with this tautology: “The concept of liveability is simple: it assesses which locations around the world provide the best or the worst living conditions”. Arriving at a consensus definition is extremely hard because it depends on a number of factors, like the characteristics of the observer – for example, their ethnicity, their income, their stage in the life cycle and so on. The vibrant centre of Melbourne might add nothing to the city’s liveability for someone who’s elderly, or on a low income, or a member of a cultural group that is under-represented in the city.

It’s not surprising the EIU’s top ten cities seem to be all of a one. They’re all medium sized cities (no megalopolises here), they’re practically all low to middling density, they’re all in first world countries and, with the possible exception of Sydney, they all have cool to cold climates. What seems obvious is that the ranking is shaped much more by the characteristics of the host country than anything else. Factors like political stability, health and education – which loom large in the selection calculus – are pretty much the same whether you’re in Melbourne, Sydney, Perth, Adelaide or Auckland.

I would be more inclined to focus on the attractiveness of a city and measure how sought after it is (perhaps by looking at the difference between wages and housing costs). It’s instructive, I think, that few of the cities in the EIU’s top ten are the sorts of places young people around the world seem to aspire to live in. Let’s be realistic, Australian cities don’t have quite the drawing power of places like London, New York, Los Angeles, San Francisco and Paris.

The slightly different methodology used by the rival Mercer Quality of Living Survey ranks Sydney 10th and Melbourne 18th. This is a big drop in ranking for Melbourne compared to the EIU Survey, but again the difference in ranking is far larger than the difference in absolute scores, which is small. Read the rest of this entry »


How liveable are our major cities?

How residents of our five largest cities (combined) see liveability

Adelaide is the most liveable capital city in Australia and Sydney is the least, according to a study released earlier this month by the Property Council of Australia.

The Australian reports that Sydney might have the harbour, Opera House and Bondi, but most Sydneysiders live a long way from these attractions in less salubrious places like Liverpool, Strathfield and Penrith.

The Property Council’s study is based on a national sample of 4,072 respondents in the nation’s eight capital cities (with around 600 in each of the four largest cities). They were given 17 attributes of liveability and asked, firstly, to rate them by importance and, secondly, to rate how well their cities perform on each of them. These two dimensions were then combined to produce a ‘liveability score’ for each city.

I’ve taken quite an interest in “liveability” in the past, especially as it relates to Sydney/Melbourne rivalry (e.g. here, here and here), so naturally I had a look at the study.

These sorts of surveys are often problematic and this one is no exception. For example, information on the representativeness of those who actually responded to the survey is scant and some of the attributes are sloppily conceptualised and poorly worded.

So with that caveat, let’s look at what the study found. The aggregate liveability scores of the eight capitals are probably the least useful aspect because the differences are small – Adelaide does best with 63.4 and Sydney does worst with 55.1. Third ranking Melbourne scores 60.9 but sixth ranking Brisbane scores 60.2. Put Sydney aside and there’s not enough in it to be useful.

What’s more interesting is how respondents define liveability. I’ve put the accompanying chart together to show how the five largest capital cities perform in aggregate i.e. Sydney, Melbourne, Brisbane, Perth, Adelaide (you won’t see this table in the Property Council’s report because I had to correct the figures in the Appendix to the report. Also, make sure to have a look at the full text of the questions).

The first column shows how important respondents think each attribute is for liveability (smaller is better). The second shows what proportion of respondents agree that their city exhibits this attribute. Read the rest of this entry »


Why is public transport patronage increasing?

Public transport patronage growth in Australian cities (chart by Chris Loader)

As the accompanying chart shows, public transport patronage has grown sharply in some of Australia’s capitals this past decade but the rate of growth has generally slowed significantly over the last 18 months.

We’re accustomed to thinking that growth in patronage is driven by higher petrol prices but the chart indicates the explanation is probably more complex.

In particular, the considerable differences between cities suggest that one single factor is unlikely to provide a satisfactory explanation. Patronage grew spectacularly in South East Qld, Perth and Melbourne, but was modest in Greater Sydney and unremarkable elsewhere.

It needs to be borne in mind that all of this growth is from a relatively small base. For example, public transport’s share of all motorised travel (weekday and weekend) in Melbourne is even now only around 11%. This is only slightly lower than Sydney’s. Perth is likely to be only around half Melbourne’s level and Brisbane somewhere in between.

The usual suspect when looking at increasing public transport patronage is higher petrol prices. However if that were the key factor we’d expect a more uniform pattern of growth across cities. Canberra has one of the highest levels of car use of all capitals, yet public transport patronage in the nation’s capital barely moved over the period. The same is true of rising traffic congestion. Sydney would have to figure much more prominently if this were the key driver. Read the rest of this entry »


Is Darwin really Australia’s most sustainable city?

So, who knew intuitively that Darwin and the Sunshine Coast are Australia’s most sustainable cities? These startling revelations are from the Australian Conservation Foundation’s newly released Sustainable Cities Index, which examined the country’s 20 largest cities across 15 indicators. Our least sustainable city is Perth, closely followed by Geelong.

And contrary to The Age’s headline that “Melbourne trails in sustainable cities index” and “pales in comparison with Darwin and Brisbane”, Melbourne is the 7th most sustainable of the 20 cities studied (Brisbane is 3rd).

I’ve previously looked at the inappropriateness of the Mercer and Economist indexes as measures of a city’s liveability and I think the ACF’s index is less useful. It seems to be more about publicity than useful research – a feeling reinforced by an absence of technical information on the methodology. It’s actually not an environmental sustainability index per se, but rather a mish-mash of environmental, quality of life and resilience indicators.

It includes indicators like subjective well-being, the rate of volunteering, unemployment levels and the proportion of the population with type 2 diabetes.

I’m sympathetic to the argument that sustainability connects deeply to other facets of life – as the ACF puts it, it’s about learning to live within our environmental means while maintaining social cohesion and liveability. But the fact is most readers of the newspapers that reported on this study (see here and here) think of sustainability as a largely environmental concept. I agree with them – there’s a danger that stretching the term to include liveability measures will ultimately devalue its usefulness and render it virtually meaningless. It would be more sensible to have two or three separate indexes rather than one.

Notwithstanding the confusion about what it’s intended to measure, does the Sustainable Cities Index approach its task in a sensible way? Straight off there are some worrying methodological issues. Read the rest of this entry »