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Cities in the developing world

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  • Henry G. Overman
  • Anthony J. Venables

Abstract

Rapid urbanisation is a major feature of developing countries. Some 2 billion more people are likely to become city residents in the next 30 years, yet urbanisation has received little attention in the modern development economics literature. This paper reviews theoretical and empirical work on the determinants and effects of urbanisation. This suggests that there are substantial productivity benefits from cities, although unregulated outcomes may well lead to excessive primacy as externalities and coordination failures inhibit decentralisation of economic activity. Policy should operate both by identifying and addressing these market failures, and by seeking to remove institutional obstacles to decentralisation.

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File URL: http://eprints.lse.ac.uk/19887/
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Bibliographic Info

Paper provided by London School of Economics and Political Science, LSE Library in its series LSE Research Online Documents on Economics with number 19887.

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Length: 36 pages
Date of creation: Jul 2005
Date of revision:
Handle: RePEc:ehl:lserod:19887

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Keywords: Urbanisation; economic development;

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References

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  1. Krugman, Paul & Elizondo, Raul Livas, 1996. "Trade policy and the Third World metropolis," Journal of Development Economics, Elsevier, vol. 49(1), pages 137-150, April.
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Citations

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Cited by:
  1. Duranton, Gilles, 2008. "From Cities to Productivity and Growth in Developing Countries," CEPR Discussion Papers 6634, C.E.P.R. Discussion Papers.
  2. Richard Florida & Tim Gulden & Charlotta Mellander, 2008. "The rise of the mega-region," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 1(3), pages 459-476.
  3. Frederick van der Ploeg & Steven Poelhekke, 2008. "Globalization and the rise of mega-cities in the developing world," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 1(3), pages 477-501.
  4. Hasan, Lubna Hasan, 2007. "On Measuring the Complexity of Urban Living," MPRA Paper 6619, University Library of Munich, Germany.
  5. Yusuf , Shahid & Nabeshima, Kaoru, 2009. "Can Malaysia escape the middle-income Trap ? a strategy for Penang," Policy Research Working Paper Series 4971, The World Bank.
  6. Matuschke, Ira, 2009. "Rapid Urbanization and Food Security: Using Food Density Maps to Identify Future Food Security Hotspots," 2009 Conference, August 16-22, 2009, Beijing, China 51643, International Association of Agricultural Economists.
  7. Rosella Nicolini, 2008. "Agglomeration and inequality across space: What can we learn from the European experience?," Working Papers wpdea0809, Department of Applied Economics at Universitat Autonoma of Barcelona.
  8. Florence Kondylis, 2005. "Agricultural Returns and Conflict: Quasi-Experimental Evidence from a Policy Intervention Programme in Rwanda," CEP Discussion Papers dp0709, Centre for Economic Performance, LSE.

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