Urbanization and Development
How the largest wave of urbanization in human history is reshaping developing countries, for better and worse.
The Urban Explosion
In 1950, fewer than 30% of the world's people lived in cities. By 2050, that figure will exceed 68%. Virtually all of this growth is happening in developing countries. Lagos, which had 300,000 residents in 1950, now has over 16 million. Dhaka, Kinshasa, and Delhi are adding millions each decade. Africa's urban population is projected to triple by 2050, adding roughly 900 million new urban residents.
Historically, urbanization and economic development have gone hand in hand. Cities concentrate workers, firms, and ideas in ways that boost productivity. The density of cities facilitates knowledge spillovers -- workers learn from each other, firms share suppliers, and innovation clusters emerge. Economists estimate that doubling a city's population increases productivity per worker by 2-5%.
