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Does urban concentration matter for changes in country economic performance?

Andrés Rodríguez-Pose

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: This paper uses a novel, globally-harmonised city-level dataset —with cities defined at the Functional Urban Area (FUA) level— to revisit the link between urban concentration and country-level economic dynamics. The empirical analysis, involving 108 low- and high-income countries, examines how differences in urban concentration impinge on changes in employment, Gross Domestic Product (GDP) per capita, and labour productivity at country level over the period 2000-2016. The results indicate that urban concentration reduces employment growth, but increases GDP per capita and labour productivity growth. The returns of urban concentration are higher for high- than for low-income countries, and are mainly driven by the ‘core’ of FUAs, rather than by sub-urban areas.

Keywords: Urban concentration; long-run economic dynamics; employment growth; GDP per capita growth; labour productivity; Cross-country analysis (search for similar items in EconPapers)
JEL-codes: J01 N0 R14 (search for similar items in EconPapers)
Pages: 25 pages
Date: 2022-05-01
New Economics Papers: this item is included in nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Published in Urban Studies, 1, May, 2022, 59(6), pp. 1275 - 1299. ISSN: 0042-0980

Downloads: (external link)
http://eprints.lse.ac.uk/108902/ Open access version. (application/pdf)

Related works:
Journal Article: Does urban concentration matter for changes in country economic performance? (2022) Downloads
Working Paper: Does urban concentration matter for changes in country economic performance? (2021) Downloads
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