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Explaining the Growth Dynamics of Small Towns in Developing Countries

Author

Listed:
  • Sabyasachi Tripathi

    (Symbiosis International (Deemed University), India)

  • Arup Mitra

    (South Asian University, India)

  • Kaivallya Mujumdar

    (Symbiosis International (Deemed University), India)

Abstract

Though small towns are important for equitable and sustainable development in developing countries, research on understanding their growth dynamics is limited. Pertinent questions: what is the definition of small towns and factors responsible for their formation; what issues emerge in existing literature; what are the trends and patterns of growth rate of population; and what determines their growth dynamics are some issues analyzed in this paper, focusing on India, considering the latest 2011 Census data. Principal Component Analysis is used to construct an infrastructure index. Analysis shows that the definition of small towns varies with the researcher's intuition. Small towns are growing at a faster rate than large cities. Key elements influencing small-town development are the availability of facilities, infrastructure, a favorable climate, and government support. Longer distance to power and large cities deters their growth. They are experiencing severe infrastructure deficiencies. The population density of the nearest city also matters. Several policies are proposed to position small towns as growth drivers in developing countries.

Suggested Citation

  • Sabyasachi Tripathi & Arup Mitra & Kaivallya Mujumdar, 2025. "Explaining the Growth Dynamics of Small Towns in Developing Countries," Journal of Economic Development, The Economic Research Institute, Chung-Ang University, vol. 50(3), pages 25-53, September.
    • Handle: RePEc:ris:jecdev:021628
    DOI: 10.35866/caujed.2024.50.3.002
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    JEL classification:

    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

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