Rapid demographic growth will add 600 million people to cities and towns in developing countries during the 1990s, about two-thirds of the expected total population increase. Of the world's 21 megacities, which will expand to have more than 10 million people, 17 will be in developing countries. With urban economic activities making up an increasing share of GDP in all countries, the productivity of the urban economy will heavily influence economic growth. This paper analyzes the fiscal, financial, and real sector linkages between urban economic activities andmacroeconomic performance. It builds on this analysis to propose a policy framework and strategy that willredefine the urban challenge in developing countries. ISBN10: 0-8213-1816-0 ISBN13: 978-0-8213-1816-4

øThis groundbreaking book will prove to be an invaluable resource and a rewarding read for academics, practitioners and policymakers interested in the economics of urban policy, urban planning and development, as well as international studies and innov

In a world increasingly organised as networks of cities, this book offers the first full-length treatment of the subject of managing the city economy. It explores key challenges and strategies, particularly in developing countries, where developmental deficits are greatest and almost all urban growth up to 2050 will take place. Adopting a practitioner’s perspective, theoretically grounded and international in scope, this book is unique in its focus and endeavours to connect theory with practice. Through an interdisciplinary and strategic approach, this book explores the challenges and options in managing the contemporary city economy. It aims to illustrate the extent to which appropriate policy interventions in the city economy could offer effective solutions to some of the most difficult social and environmental challenges facing cities. The book comprises five main parts. Part I sets the scene and examines contemporary processes that affect cities and explains the challenges they pose for city managers. Part II presents a selection of conceptual frameworks commonly used in urban economic analysis. Part III examines the management of sectoral growth, covering manufacturing, exports of services, transport and logistics, and real estate. Part IV addresses urban poverty, low-carbon transition and the informal economy. Part V focuses on laying the foundation for long-term city development, exploring the roles of city development strategies, municipal finance, investment in people and appropriate infrastructure. This book is designed for graduate courses in urban economic development, urban planning, urban policy and public administration, and for professionals who are involved in the management of city economies or/and conducting research, consultancy or policy advocacy for cities. Through critical review of relevant debates and a dozen case studies this book will equip city managers with the knowledge required to strengthen the performance of their city economy while delivering authentic and sustainable development.

Today, the Bay Area is home to the most successful knowledge economy in America, while Los Angeles has fallen progressively further behind its neighbor to the north and a number of other American metropolises. Yet, in 1970, experts would have predicted that L.A. would outpace San Francisco in population, income, economic power, and influence. The usual factors used to explain urban growth—luck, immigration, local economic policies, and the pool of skilled labor—do not account for the contrast between the two cities and their fates. So what does? The Rise and Fall of Urban Economies challenges many of the conventional notions about economic development and sheds new light on its workings. The authors argue that it is essential to understand the interactions of three major components—economic specialization, human capital formation, and institutional factors—to determine how well a regional economy will cope with new opportunities and challenges. Drawing on economics, sociology, political science, and geography, they argue that the economic development of metropolitan regions hinges on previously underexplored capacities for organizational change in firms, networks of people, and networks of leaders. By studying San Francisco and Los Angeles in unprecedented levels of depth, this book extracts lessons for the field of economic development studies and urban regions around the world.

This volume embodies a problem-driven and theoretically informed approach to bridging frontier research in urban economics and urban/regional planning. The authors focus on the interface between these two subdisciplines that have historically had an uneasy relationship. Although economists were among the early contributors to the literature on urban planning, many economists have been dismissive of a discipline whose leading scholars frequently favor regulations over market institutions, equity over efficiency, and normative prescriptions over positive analysis. Planners, meanwhile, even as they draw upon economic principles, often view the work of economists as abstract, not sensitive to institutional contexts, and communicated in a formal language spoken by few with decision making authority. Not surprisingly, papers in the leading economic journals rarely cite clearly pertinent papers in planning journals, and vice versa. Despite the historical divergence in perspectives and methods, urban economics and urban planning share an intense interest in many topic areas: the nature of cities, the prosperity of urban economies, the efficient provision of urban services, efficient systems of transportation, and the proper allocation of land between urban and environmental uses. In bridging this gap, the book highlights the best scholarship in planning and economics that address the most pressing urban problems of our day and stimulates further dialog between scholars in urban planning and urban economics.