What I see everywhere is the broadband economy at work. There is a big old store called Dodge Grain. It seems to be a general hardware store today but, once upon a time, must have been Salem's center for the sale of everything a working farm requires. It is near the center of town, where two state highways cross. But if there was once a true town center there, it is long gone. Individual buildings stand in parking lots. Many have "For Lease" signs or look abandoned. Yet I counted seven banks and one expensive-looking restaurant during a half-hour drive about town. There appears to be money around, and I suspect a lot of it comes from retirees. A large lake nearby looks like a summertime magnet, and an historic racetrack runs horses from June through August.
I soon saw why the town center is anemic: there is a gigantic Walmart a short distance north, and a shopping mall a little bit south, no doubt filled with national brand stores. Most of the restaurants are national brands, too: McDonalds and Burger King, of course, but also Outback Steakhouse, Margaritas and Dennys. This morning at breakfast at one of these establishments, both of the women serving us had that distinctly American mark of the working poor: bad and missing teeth. If they are lucky enough to have medical insurance, it probably does not cover dentistry. And when you live paycheck-to-paycheck, just try justifying twice yearly visits to the dentist.
Scattered here and there, however, are upscale multi-family housing developments, and new office buildings that house medical groups, university extension facilities and what look like new technology companies. I learned from our hotel's front desk that this region even boasts its very own cluster. There are no less than eight wedding facilities within easy driving distance, which probably share a pool of regional suppliers - the same ones who are currently accessing my wallet.
What does this have to do with the broadband economy? Based on the Intelligent Community nominations I have read (submit yours before September 21!), I guess that Salem is another example of 20th Century prosperity that dried up and blew away. It developed a seasonal economy based on the racetrack and lake. I suspect the wedding cluster arose because wealthy businessmen of the earlier era built mansions here. Our wedding is taking place at such a mansion built in 1915 in the shape of a European castle and now in the possession of a local convent.
The national chains are here, as they are throughout the world, because broadband makes it possible to manage far-flung businesses as though they were across the street. These service businesses have economies of scale and efficiency that no purely local business can match. The bad news is that the jobs they offer do not pay enough to create a path into the middle class. But overlaid on this late 20th Century economy are signs of the new economy. The technology companies and university office parks are an hour's drive from the tech corridor surrounding Boston - but only milliseconds by broadband. No doubt the companies opening offices talk about the benefits of challenging, well-paid work in a location with a wonderful lifestyle. Now if they can just help local people qualify for those jobs, they could have an economic revival on their hands.
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