Congestion and exorbitant real estate prices in America’s major metropolitan centers are just a couple of factors driving people and businesses to give smaller cities such as Duluth a second look, said Joel Kotkin, a senior fellow for the New America Foundation. The foundation is a nonprofit public policy institute headquartered in Washington, D.C.

“People are looking for places where they can still live the American dream,” he said, suggesting that Duluth could fit the bill, during a visit to the community Thursday...

A study Kotkin co-authored with Delore Zimmerman suggested government programs could help communities such as Duluth retain more of its young talent. The two came out in favor of a proposed New Homestead Act sponsored by Sens. Chuck Hagel, R-Neb., and Byron Dorgan, D-N.D. If passed, the legislation would provide incentives to people who start businesses, pursue degrees and buy homes in targeted areas that have experienced little or no population growth in recent years...

Besides having a good supply of young talent, Zimmerman said Duluth also benefits from relatively low energy costs, which could make the city more attractive to industry.

“As a city, you have a lot of good cards to play,” Kotkin told a small group of people assembled in Duluth’s Technology Village Thursday morning.

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