Isn't that true of any city? Let's permanently shut down the subway in NYC. The rest of the country will benefit from the flood of educated people looking for jobs elsewhere.
I suppose it depends whether a city is a hub that serves other cities too, on the shape of wealth distribution and how the rents are shaped. As far as I know NYC has rent control laws and it serves as financial hub for many other cities. If you dismantle it, another city will take it's place, but one not multiple - that's pretty much how finance works.