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Types of urbanization and economic growth

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  • James Gross
  • Yu Ouyang

Abstract

What is the relationship between urbanization and economic growth? Though many scholars have long documented the impact of urbanization on economic growth, others find no relationship has been established between rates of urbanization and rates of growth. While urbanization has typically been theorized as the product of a Harris-Todaro push-and-pull framework that encourages migration to urban areas for economic opportunity, recent works indicate that growth in urban areas stems from several distinct mechanisms. By re- conceptualizing urbanization as resulting from two distinct mechanisms – natural increase and residual increase, respectively – we examine the impact of types of urbanization on economic growth. We find that while urban residual increase is corelated to economic growth, urbanization due to natural births and deaths is not. The results contribute to existing literature by providing an important insight into the factors behind economic growth and the effects of urbanization.

Suggested Citation

  • James Gross & Yu Ouyang, 2021. "Types of urbanization and economic growth," International Journal of Urban Sciences, Taylor & Francis Journals, vol. 25(1), pages 71-85, January.
    • Handle: RePEc:taf:rjusxx:v:25:y:2021:i:1:p:71-85
    DOI: 10.1080/12265934.2020.1759447
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    Cited by:

    1. Yanxu Li & Zhenfa Xie & Bo Li & Muhammad Mohiuddin, 2022. "The Impacts of In Situ Urbanization on Housing, Mobility and Employment of Local Residents in China," Sustainability, MDPI, vol. 14(15), pages 1-21, July.
    2. Sayef BAKARI & Malek El WERIEMMI, 2024. "What drives Tunisian economic growth: urbanization or rural development?," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(2(639), S), pages 215-242, Summer.
    3. Anand Sahasranaman & Nishanth Kumar & Luis M. A. Bettencourt, 2024. "Urbanization, economic development, and income distribution dynamics in India," Papers 2410.04737, arXiv.org.
    4. Yunjie Wu & Peng Qian & Lei Yang & Zhuang Tian & Jieqiong Luo, 2024. "Analysis of the Impact of Urban Infrastructure on Urbanization Processes at Different Levels from a Spatiotemporal Perspective," Sustainability, MDPI, vol. 16(16), pages 1-20, August.
    5. Zhixin Zeng & Xiaojun Wang, 2023. "Will World Cultural Heritage Sites Boost Economic Growth? Evidence from Chinese Cities," Sustainability, MDPI, vol. 15(10), pages 1-19, May.

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