Grover Goswami, ArtiLall, Somik V.2021-02-012021-02-012019-08World Bank Research Observer1564-6971https://hdl.handle.net/10986/35083Over the last century, the urban spatial structure of cities has transformed dramatically from a traditional monocentric configuration to varying forms of decentralized organization. This paper reviews theory and empirical evidence to understand the urban morphology of jobs and land use within a city. Our survey highlights four broad insights: (i) The evolution of monocentric to polycentric centers have been accompanied by structural changes within the city. (ii) The internal geography of a city is an outcome of the trade-off between the pull from agglomeration economies and the push from congestion. (iii) The presence of externalities implies that the equilibrium spatial organization achieved by profit-maximizing firms may not necessarily be optimal. This justifies the role of public policy in addressing associated market failures. (iv) The productive edge and competitiveness of a city can be enhanced by introducing policies that increase the overall connectivity to take advantage of economic opportunities across the metropolitan area. The survey also puts together a wide range of policy instruments useful in closing the gap between equilibrium urban spatial structures and the optimal outcome.CC BY-NC-ND 3.0 IGOAGGLOMERATION ECONOMICSSPATIAL ECONOMICSMONOCENTRICPOLYCENTRICLAND USE REGULATIONURBAN LANDROADSCONGESTIONJournal ArticleWorld Bank10.1596/35083