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Which is the best for Tunisian Economic Growth: Urbanization or Ruralization?

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  • Bakari, Sayef
  • El Weriemmi, Malek

Abstract

A country's economic growth determines its degree of national economic integration and into global value chains. This study aims at examining the effect of urbanization and ruralization for the Tunisian case using annual data expanded from 1965 to 2019. The results of the estimation of an autoregressive distributed lag model and an error correction model show that urbanization has a negative effect on Tunisian economic growth. However, ruralization boosts it. Thus, Tunisia would not be at the stage of urban saturation. Urbanization without industrialization would therefore have reached its limits. Accordingly, Tunisia was built without development and therefore no longer appears as a privileged place but sometimes even excluded. Sometimes the only response to the urban crisis is “the urban exodus”.

Suggested Citation

  • Bakari, Sayef & El Weriemmi, Malek, 2022. "Which is the best for Tunisian Economic Growth: Urbanization or Ruralization?," MPRA Paper 112208, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:112208
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    References listed on IDEAS

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    Cited by:

    1. Sayef Bakari & Sofien Tiba, 2022. "Agricultural Exports, Agricultural Imports And Economic Growth In China," Journal of Smart Economic Growth, , vol. 7(3), pages 35-61, September.

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    More about this item

    Keywords

    Tunisian economic growth; Urbanization; Ruralization; ARDL; ECM.;
    All these keywords.

    JEL classification:

    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • R0 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General
    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics

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