In order to fully grasp the history of urban community development and its implications for urban planning and policy, it is important to first understand the dynamics of neighborhood change. Why do neighborhoods decline, improve, or remain stable over time? Following the taxonomy of Temkin and Rohe (1996), this paper surveys three major schools of thought with regard to theoretical understanding of how and why neighborhoods change – ecological, subcultural, and political economy – reflecting on their implications for neighborhood development policy.