Publication:
Urbanization, Agglomeration, and Economic Development

Loading...
Thumbnail Image
Files in English
English PDF (1.4 MB)
1,969 downloads
English Text (71.95 KB)
73 downloads
Date
2008
ISSN
Published
2008
Editor(s)
Abstract
This paper reviews the linkages between urbanization and economic development. It articulates the relationship between urban density and potential increases in productivity, through specialization, complementarities in production, through the diffusion of knowledge and mimicry, and simply through size and scale. The factors limiting the efficient sizes of cities are analyzed. The paper reviews empirical knowledge, from underdeveloped countries as well as high-income industrial societies, about the importance and magnitudes of these productivity gains. The analysis documents the close link between gains in economic efficiency and the urbanization of populations in most parts of the world.
Link to Data Set
Citation
Quigley, John M.. 2008. Urbanization, Agglomeration, and Economic Development. Commission on Growth and Development Working Paper;No. 19. © World Bank. http://hdl.handle.net/10986/28042 License: CC BY 3.0 IGO.
Associated URLs
Associated content
Report Series
Other publications in this report series
Journal
Journal Volume
Journal Issue

Related items

Showing items related by metadata.

  • Publication
    Russia : Reshaping Economic Geography
    (Washington, DC, 2011-06) World Bank
    The report has three main chapters discussing modernization, diversification and competitiveness. The chapters examine problems and barriers facing households, private firms and public agencies to achieving these objectives, and then identify the instruments that can help Russia achieve the necessary spatial transformation of its economy. Russia's long history as one of Europe's leading nations, and its more recent past as a superpower, give it grounds for greater aspirations. To realize them will require significant improvements across all aspects of the economy. Russia's economy faces many challenges, some of which are a persistent legacy from its tumultuous history in the twentieth century of civil war, two world wars and a long period of communism. But as the largest country in the world, it is not surprising that many of Russia's problems relate to its economic geography, which is the focus of this report.
  • Publication
    Vietnam Urbanization Review : Technical Assistance Report
    (World Bank, 2011-11-01) World Bank
    As Vietnam enters a crucial period of urbanization corresponding to its present stage of economic development, the Government of Vietnam has placed strong emphasis on developing its system of cities. In accordance with this objective this Urbanization Review is dedicated to understanding the key dimensions and aspects of Vietnam's urbanization process and to identifying trends, opportunities, challenges and core policy priorities that the government will need to address in order to realize its objective. The Vietnam Urbanization Review was prepared following extensive consultations with various stakeholders, including officials from national and local government, private sector groups and international and bilateral organizations active in development assistance in the urban sector in Vietnam. It builds on a strong portfolio of World Bank engagements in investment and policy lending to the Government of Vietnam. It also builds on a number of more in-depth studies that were commissioned specifically for the Vietnam urbanization review.
  • Publication
    Harnessing Urbanization to End Poverty and Boost Prosperity in Africa
    (World Bank, Washington, DC, 2013-09) World Bank
    Urbanization is the single most important transformation that the African continent will undergo this century. More than half of Africa's population will live in its cities by 2040. In the face of rapid urbanization, there is a narrow window of opportunity to harness the potential of cities as engines of economic growth, and use this as a powerful leverage to achieve sustainable development and poverty reduction. Despite its rapid urban growth, Africa is less than halfway through the urbanization process and in some countries, a large number of people reside in rural areas. Rapid urbanization, if well managed, can curb urban sprawl, deteriorating access to services, greater inequality, and increased crime. The concentration of people in cities also elevates the risks and costs associated with extreme weather and natural disasters resulting from climate change. The World Bank Group's (WBGs) support will focus on three key areas: metropolitan areas and large cities; secondary and tertiary cities; and informal settlements. This will include both multi-sectoral investment programs that integrate a basket of services (for example, upgrading of electricity, water, sanitation, roads, drains in unplanned settlements); and sector specific projects (for example, in urban water, solid waste, and transport) to improve the effectiveness of service delivery. This paper is organized in following chapters: chapter one discusses why is it urgent to get Africa's urbanization right?; chapter two gives the vision for efficient, inclusive, and sustainable urbanization; chapter three presents priorities for Africa's policymakers; and chapter four deals with working with Africa to support efficient, inclusive, and sustainable cities.
  • Publication
    China Urbanizes : Consequences, Strategies, and Policies
    (Washington, DC : World Bank, 2008) Saich, Tony; Yusuf, Shahid
    Rural-urban migration is playing an increasingly important role in shaping the economic and demographic landscape of Chinese cities. Over the past two decades, China has transformed itself from a relatively immobile society to one in which more than 10 percent of the population are migrants. China's mobility rate is still low compared with that of advanced industrial economies, the sheer size of the migrant flows and their dramatic economic and social consequences have already profoundly affected economic growth and urban development. Looking ahead, decision makers at all levels will need to craft policies that address issues of migration and rural-urban migrants issues that are hotly debated among scholars, Chinese policy makers, and others. This report presents recent findings that describe migration patterns and changes since the 1980s.
  • Publication
    Geography of Growth : Spatial Economics and Competitiveness
    (World Bank, 2012-04-20) Nallari, Raj; Griffith, Breda; Yusuf, Shahid
    This volume is organized as follows. Chapter one address two questions: how has spatial concentration evolved with growth and development, and what are the efficiency implications of too much or too little spatial concentration? This chapter summarizes the various models that analyze growth by geographic concentration and sets the foundation for concepts discussed in later chapters. Chapter two focuses on urbanization in geographies. Chapter three correlates urban presence with economic density in developed and developing countries. It initially focuses on how urban transition and growth are blurring the rural-urban divide and the unprecedented volume of people who are moving to urban areas. Chapter four discusses how different industries inhabit and impact various urban sectors. Chapter five contextualizes urban growth in the current technological landscape as innovation, particularly in information technology, has become critical to increasing productivity and consequently growth. Chapter six further analyzes urbanization in the current global context, specifically, the impact of globalization and industry clusters on urbanization. Chapter seven addresses a current fundamental global trend: why has urbanization been growing rapidly since the 1950s? Some theories suggest that it is industry that spurs urbanization and consequently growth in infrastructure; however this is not the case. Instead, the chapter concludes by looking at data across regions and cities, the municipalities are pivotal in influencing infrastructure development and growth in urban centers. Finally, chapter eight deciphers why some cities are more successful than others. Why do Karachi and Sao Paulo have the human capital that qualifies them as urban centers but not as thriving cities? By citing examples of successful cities, this chapter provides policy recommendations on how to make a city competitive in today's economy.

Users also downloaded

Showing related downloaded files

  • Publication
    Lebanon Economic Monitor, Fall 2022
    (Washington, DC, 2022-11) World Bank
    The economy continues to contract, albeit at a somewhat slower pace. Public finances improved in 2021, but only because spending collapsed faster than revenue generation. Testament to the continued atrophy of Lebanon’s economy, the Lebanese Pound continues to depreciate sharply. The sharp deterioration in the currency continues to drive surging inflation, in triple digits since July 2020, impacting the poor and vulnerable the most. An unprecedented institutional vacuum will likely further delay any agreement on crisis resolution and much needed reforms; this includes prior actions as part of the April 2022 International Monetary Fund (IMF) staff-level agreement (SLA). Divergent views among key stakeholders on how to distribute the financial losses remains the main bottleneck for reaching an agreement on a comprehensive reform agenda. Lebanon needs to urgently adopt a domestic, equitable, and comprehensive solution that is predicated on: (i) addressing upfront the balance sheet impairments, (ii) restoring liquidity, and (iii) adhering to sound global practices of bail-in solutions based on a hierarchy of creditors (starting with banks’ shareholders) that protects small depositors.
  • Publication
    Argentina Country Climate and Development Report
    (World Bank, Washington, DC, 2022-11) World Bank Group
    The Argentina Country Climate and Development Report (CCDR) explores opportunities and identifies trade-offs for aligning Argentina’s growth and poverty reduction policies with its commitments on, and its ability to withstand, climate change. It assesses how the country can: reduce its vulnerability to climate shocks through targeted public and private investments and adequation of social protection. The report also shows how Argentina can seize the benefits of a global decarbonization path to sustain a more robust economic growth through further development of Argentina’s potential for renewable energy, energy efficiency actions, the lithium value chain, as well as climate-smart agriculture (and land use) options. Given Argentina’s context, this CCDR focuses on win-win policies and investments, which have large co-benefits or can contribute to raising the country’s growth while helping to adapt the economy, also considering how human capital actions can accompany a just transition.
  • Publication
    Classroom Assessment to Support Foundational Literacy
    (Washington, DC: World Bank, 2025-03-21) Luna-Bazaldua, Diego; Levin, Victoria; Liberman, Julia; Gala, Priyal Mukesh
    This document focuses primarily on how classroom assessment activities can measure students’ literacy skills as they progress along a learning trajectory towards reading fluently and with comprehension by the end of primary school grades. The document addresses considerations regarding the design and implementation of early grade reading classroom assessment, provides examples of assessment activities from a variety of countries and contexts, and discusses the importance of incorporating classroom assessment practices into teacher training and professional development opportunities for teachers. The structure of the document is as follows. The first section presents definitions and addresses basic questions on classroom assessment. Section 2 covers the intersection between assessment and early grade reading by discussing how learning assessment can measure early grade reading skills following the reading learning trajectory. Section 3 compares some of the most common early grade literacy assessment tools with respect to the early grade reading skills and developmental phases. Section 4 of the document addresses teacher training considerations in developing, scoring, and using early grade reading assessment. Additional issues in assessing reading skills in the classroom and using assessment results to improve teaching and learning are reviewed in section 5. Throughout the document, country cases are presented to demonstrate how assessment activities can be implemented in the classroom in different contexts.
  • Publication
    World Development Report 2006
    (Washington, DC, 2005) World Bank
    This year’s Word Development Report (WDR), the twenty-eighth, looks at the role of equity in the development process. It defines equity in terms of two basic principles. The first is equal opportunities: that a person’s chances in life should be determined by his or her talents and efforts, rather than by pre-determined circumstances such as race, gender, social or family background. The second principle is the avoidance of extreme deprivation in outcomes, particularly in health, education and consumption levels. This principle thus includes the objective of poverty reduction. The report’s main message is that, in the long run, the pursuit of equity and the pursuit of economic prosperity are complementary. In addition to detailed chapters exploring these and related issues, the Report contains selected data from the World Development Indicators 2005‹an appendix of economic and social data for over 200 countries. This Report offers practical insights for policymakers, executives, scholars, and all those with an interest in economic development.
  • Publication
    The Journey Ahead
    (Washington, DC: World Bank, 2024-10-31) Bossavie, Laurent; Garrote Sánchez, Daniel; Makovec, Mattia
    The Journey Ahead: Supporting Successful Migration in Europe and Central Asia provides an in-depth analysis of international migration in Europe and Central Asia (ECA) and the implications for policy making. By identifying challenges and opportunities associated with migration in the region, it aims to inform a more nuanced, evidencebased debate on the costs and benefits of cross-border mobility. Using data-driven insights and new analysis, the report shows that migration has been an engine of prosperity and has helped address some of ECA’s demographic and socioeconomic disparities. Yet, migration’s full economic potential remains untapped. The report identifies multiple barriers keeping migration from achieving its full potential. Crucially, it argues that policies in both origin and destination countries can help maximize the development impacts of migration and effectively manage the economic, social, and political costs. Drawing from a wide range of literature, country experiences, and novel analysis, The Journey Ahead presents actionable policy options to enhance the benefits of migration for destination and origin countries and migrants themselves. Some measures can be taken unilaterally by countries, whereas others require close bilateral or regional coordination. The recommendations are tailored to different types of migration— forced displacement as well as high-skilled and low-skilled economic migration—and from the perspectives of both sending and receiving countries. This report serves as a comprehensive resource for governments, development partners, and other stakeholders throughout Europe and Central Asia, where the richness and diversity of migration experiences provide valuable insights for policy makers in other regions of the world.