Efficient Local Government Operation with Smart City

<p>　Recently a lot of Japanese local governments are suffering from population decreasing, aging inhabitance service increasing and frequent vacant houses. These problems make local governments’ operations increasing on the contrary decreasing tax income. Compact city operation which concentrates inhabited area seems to be an effective measure to economize budget of local government under the condition of population decreasing. Sometime public service may not seek profit from its operation. However times have changed. Yubari city has been on the verge of collapse as everybody knows. Public services done by the local governments should cover whole areas where citizens live even decreasing tax income. Such local governments try to merger neighbor cities to save operating expense shortage by eliminating redundant local civil servants. This policy is called municipal merger. In addition to this, it is presented the compact policy which intends to concentrate houses to the inhabited area in order to make public services efficiently. It should be compared merger of cities with compact city policy. Moreover, business extension with utilizing vacant houses may push income of local government. In order to clarify the mechanism of compact city policy, dynamic simulation using Software Stella has been done with taking example of Kuki-city case. It is demonstrated the effectiveness of the compact city and business trial using vacant houses located in city area.</p>