Consumption Cities versus Production Cities : New Considerations and Evidence

Cities dramatically vary in their sectoral composition across the world, possibly lending credence to the theory that some cities are production cities with high employment shares of urban tradables while others are consumption cities with high emp...

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Main Authors: Jedwab, Remi, Ianchovichina, Elena, Haslop, Federico
Format: Working Paper
Language:English
en_US
Published: Washington, DC : World Bank 2022
Subjects:
Online Access:http://documents.worldbank.org/curated/en/099549506242213625/IDU060925f8c024ec0463108b23050ec1534f97a
http://hdl.handle.net/10986/37624
id okr-10986-37624
recordtype oai_dc
spelling okr-10986-376242022-07-06T05:10:32Z Consumption Cities versus Production Cities : New Considerations and Evidence Jedwab, Remi Ianchovichina, Elena Haslop, Federico STRUCTURAL CHANGE URBANIZATION CONSUMPTION CITIES MACRO-DEVELOPMENT ECONOMICS INDUSTRIALIZATION NATURAL RESOURCES DEINDUSTRIALIZATION CONSTRUCTION Cities dramatically vary in their sectoral composition across the world, possibly lending credence to the theory that some cities are production cities with high employment shares of urban tradables while others are consumption cities with high employment shares of urban non-tradables. A model of structural change highlights three paths leading to the rise of consumption cities: resource rents from exporting fuels and mining products, agricultural exports, and premature deindustrialization. These findings appear to be corroborated using both country- and city-level data. Compared to cities in industrialized countries, cities of similar sizes in resource-rich and deindustrializing countries have lower shares of employment in manufacturing, tradable services, and the formal sector, and higher shares of employment in non-tradables and the informal sector. Results on the construction of “vanitous” tall buildings provide additional evidence on the relationship between resource exports and consumption cities. Finally, the evidence suggests that having mostly consumption cities might have economic implications for a country. 2022-07-05T19:37:19Z 2022-07-05T19:37:19Z 2022-06 Working Paper http://documents.worldbank.org/curated/en/099549506242213625/IDU060925f8c024ec0463108b23050ec1534f97a http://hdl.handle.net/10986/37624 English en_US Policy Research Working Paper;10105 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC : World Bank Publications & Research Publications & Research :: Policy Research Working Paper World
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic STRUCTURAL CHANGE
URBANIZATION
CONSUMPTION CITIES
MACRO-DEVELOPMENT ECONOMICS
INDUSTRIALIZATION
NATURAL RESOURCES
DEINDUSTRIALIZATION
CONSTRUCTION
spellingShingle STRUCTURAL CHANGE
URBANIZATION
CONSUMPTION CITIES
MACRO-DEVELOPMENT ECONOMICS
INDUSTRIALIZATION
NATURAL RESOURCES
DEINDUSTRIALIZATION
CONSTRUCTION
Jedwab, Remi
Ianchovichina, Elena
Haslop, Federico
Consumption Cities versus Production Cities : New Considerations and Evidence
geographic_facet World
relation Policy Research Working Paper;10105
description Cities dramatically vary in their sectoral composition across the world, possibly lending credence to the theory that some cities are production cities with high employment shares of urban tradables while others are consumption cities with high employment shares of urban non-tradables. A model of structural change highlights three paths leading to the rise of consumption cities: resource rents from exporting fuels and mining products, agricultural exports, and premature deindustrialization. These findings appear to be corroborated using both country- and city-level data. Compared to cities in industrialized countries, cities of similar sizes in resource-rich and deindustrializing countries have lower shares of employment in manufacturing, tradable services, and the formal sector, and higher shares of employment in non-tradables and the informal sector. Results on the construction of “vanitous” tall buildings provide additional evidence on the relationship between resource exports and consumption cities. Finally, the evidence suggests that having mostly consumption cities might have economic implications for a country.
format Working Paper
author Jedwab, Remi
Ianchovichina, Elena
Haslop, Federico
author_facet Jedwab, Remi
Ianchovichina, Elena
Haslop, Federico
author_sort Jedwab, Remi
title Consumption Cities versus Production Cities : New Considerations and Evidence
title_short Consumption Cities versus Production Cities : New Considerations and Evidence
title_full Consumption Cities versus Production Cities : New Considerations and Evidence
title_fullStr Consumption Cities versus Production Cities : New Considerations and Evidence
title_full_unstemmed Consumption Cities versus Production Cities : New Considerations and Evidence
title_sort consumption cities versus production cities : new considerations and evidence
publisher Washington, DC : World Bank
publishDate 2022
url http://documents.worldbank.org/curated/en/099549506242213625/IDU060925f8c024ec0463108b23050ec1534f97a
http://hdl.handle.net/10986/37624
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