How urban concentration affects economic growth / Vernon Henderson Henderson, J. Vernon

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Henderson, J. Vernon
Cities and towns - Developing countries - Growth.; Developing countries - Economic policy.; Urbanization - Economic aspects - Developing countries.
If urban overconcentration really is an issue, it ought to affect economic growth rates in a robust, consistent fashion. And it does. Not only is there an optimal degree of urban concentration that varies with country income, but departures from optimal concentration result in substantial growth losses. Overconcentrated countries can reduce concentration by investing in interregional transport infrastructure, in particular, increasing the density of road networks.
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