Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0011
Dan Liu
With a surge in foreign direct investment (FDI), the People’s Republic of China (PRC) made great achievements in urbanization during the three decades since the reforms and opening-up policies were implemented. This chapter investigates the trends and patterns in FDI and domestic capital flows, and their roles in the process of urbanization. The big picture in capital flows in the PRC is that both FDI and private domestic capital concentrate on the coastal areas, while government transfers flow mostly to the middle and western regions. At the same time, under more favourable government policies, both FDI and private capital are moving to the middle and west. It has been found that FDI affects the speed and pattern of urbanization by creating more jobs and affecting the extent and direction of migration.
{"title":"Foreign Direct Investment, Capital Flows, and Urbanization: the Case of China","authors":"Dan Liu","doi":"10.1093/oso/9780198829225.003.0011","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0011","url":null,"abstract":"With a surge in foreign direct investment (FDI), the People’s Republic of China (PRC) made great achievements in urbanization during the three decades since the reforms and opening-up policies were implemented. This chapter investigates the trends and patterns in FDI and domestic capital flows, and their roles in the process of urbanization. The big picture in capital flows in the PRC is that both FDI and private domestic capital concentrate on the coastal areas, while government transfers flow mostly to the middle and western regions. At the same time, under more favourable government policies, both FDI and private capital are moving to the middle and west. It has been found that FDI affects the speed and pattern of urbanization by creating more jobs and affecting the extent and direction of migration.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"71 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129362350","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0010
Darshini Mahadevia
Housing or shelter security is the key to rapid as well as inclusive urbanization, which different countries have addressed in their own way in the course of modern history. India too has, after a hiatus of half a century, introduced public housing programme for the first time in 2006, which has seen many modifications. This chapter attempts to answer the questions as to why the state and market has failed to meet the housing needs of the urban poor, and thus how do the urban poor access housing/shelter and what explains different levels of housing achievements by different states in India? The chapter draws on available secondary data to answer these questions and suggests what needs to be done going forward.
{"title":"Urbanization, Land, and Housing in India: Options Amid the State and the Market Failures","authors":"Darshini Mahadevia","doi":"10.1093/oso/9780198829225.003.0010","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0010","url":null,"abstract":"Housing or shelter security is the key to rapid as well as inclusive urbanization, which different countries have addressed in their own way in the course of modern history. India too has, after a hiatus of half a century, introduced public housing programme for the first time in 2006, which has seen many modifications. This chapter attempts to answer the questions as to why the state and market has failed to meet the housing needs of the urban poor, and thus how do the urban poor access housing/shelter and what explains different levels of housing achievements by different states in India? The chapter draws on available secondary data to answer these questions and suggests what needs to be done going forward.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128891992","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0013
Zhigang Li
The recent experience of the People’s Republic of China (PRC) suggests an intertwined relationship between infrastructure investment, urbanization, and economic growth. This chapter analyses infrastructure-related institutions and the interrelation between infrastructure and urbanization. It addresses the following issues: What is the relationship between infrastructure, growth, and urbanization? How efficient have investment and financing been for infrastructure construction? How can we evaluate the performance of infrastructure development? How and to what extent should the government be involved in infrastructure construction? Although the current infrastructure investment system is still distorted by local governments’ incentives and decisions, there is no evidence of overinvestment in infrastructure at the aggregate level. Nevertheless, there is strong evidence that the marginal return to infrastructure investment in the PRC has been rapidly declining. Hence, it is urgent for policymakers to reform the existing system to base their investment decisions on the economic returns to infrastructure.
{"title":"Infrastructure in China","authors":"Zhigang Li","doi":"10.1093/oso/9780198829225.003.0013","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0013","url":null,"abstract":"The recent experience of the People’s Republic of China (PRC) suggests an intertwined relationship between infrastructure investment, urbanization, and economic growth. This chapter analyses infrastructure-related institutions and the interrelation between infrastructure and urbanization. It addresses the following issues: What is the relationship between infrastructure, growth, and urbanization? How efficient have investment and financing been for infrastructure construction? How can we evaluate the performance of infrastructure development? How and to what extent should the government be involved in infrastructure construction? Although the current infrastructure investment system is still distorted by local governments’ incentives and decisions, there is no evidence of overinvestment in infrastructure at the aggregate level. Nevertheless, there is strong evidence that the marginal return to infrastructure investment in the PRC has been rapidly declining. Hence, it is urgent for policymakers to reform the existing system to base their investment decisions on the economic returns to infrastructure.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"33 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"127960309","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0019
Surender Kumar
This chapter provides a critical overview of urban air pollution and traffic congestion in India. It discusses temporal and spatial variations in the level of urban air pollution and traffic congestion in the country and challenges posed by them. India loses about 2 per cent of its GDP because of urban air pollution. Urbanization of small-scale industries and increasing demand for private vehicles are major determinants of urban air pollution and traffic congestion. Legitimacy in enforcement of polices is a strong predictor of success of a policy. Growing demand for green cities coupled with transparency in governance will reduce frictions arising from pollution and congestion.
{"title":"Air Pollution and Traffic Congestion in Urban India","authors":"Surender Kumar","doi":"10.1093/oso/9780198829225.003.0019","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0019","url":null,"abstract":"This chapter provides a critical overview of urban air pollution and traffic congestion in India. It discusses temporal and spatial variations in the level of urban air pollution and traffic congestion in the country and challenges posed by them. India loses about 2 per cent of its GDP because of urban air pollution. Urbanization of small-scale industries and increasing demand for private vehicles are major determinants of urban air pollution and traffic congestion. Legitimacy in enforcement of polices is a strong predictor of success of a policy. Growing demand for green cities coupled with transparency in governance will reduce frictions arising from pollution and congestion.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"17 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123107613","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0003
Kala Seetharam Sridhar
Urbanization has both benefits and costs. This chapter summarizes research findings on how urbanization enhances productivity and economic growth in both rural and urban sectors, taking the case of India. It studies the relationship between urbanization and growth. Based on extensive data analyses of urbanization, it finds no impact of urban–rural inequalities on urbanization, but significant impact on the population of the largest city in the state. When accounting for the two-way relationship between urbanization and the rural–urban income ratio, it finds that urbanization increases urban–rural inequalities initially, but at higher levels reduces them. Urbanization benefits rural development since the chapter finds that it has a positive impact on increasing the rural–urban income ratio, and the evidence regarding remittances. Policy implications regarding telecommuting and investments in urban infrastructure are summarized. Lessons from India and the People’s Republic of China for each other’s urbanization are discussed.
{"title":"Costs and Benefits of Urbanization","authors":"Kala Seetharam Sridhar","doi":"10.1093/oso/9780198829225.003.0003","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0003","url":null,"abstract":"Urbanization has both benefits and costs. This chapter summarizes research findings on how urbanization enhances productivity and economic growth in both rural and urban sectors, taking the case of India. It studies the relationship between urbanization and growth. Based on extensive data analyses of urbanization, it finds no impact of urban–rural inequalities on urbanization, but significant impact on the population of the largest city in the state. When accounting for the two-way relationship between urbanization and the rural–urban income ratio, it finds that urbanization increases urban–rural inequalities initially, but at higher levels reduces them. Urbanization benefits rural development since the chapter finds that it has a positive impact on increasing the rural–urban income ratio, and the evidence regarding remittances. Policy implications regarding telecommuting and investments in urban infrastructure are summarized. Lessons from India and the People’s Republic of China for each other’s urbanization are discussed.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"8 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129443733","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0012
O. Mathur
Foreign direct investment (FDI) has, in the post-1991 period, acquired considerable importance in India. This chapter analyses the regional distribution of FDI flows and explores the role of urbanization in determining FDI location choices. Three points emerge from the chapter. First, the regional distribution of FDI in India is grossly uneven. Most FDI flows are directed to regions which are more urbanized and have metropolitan dominance. Second, urbanization and its associated factors such as market size, population density, and infrastructure such as road density and teledensity are important determinants of FDI. Third, relative to India’s share in global population and global GDP, India’s share in global FDI is small. The chapter points out that for India to be able to reap the potential benefits of FDI, it will need to make heavy investments in urban infrastructure and services and eliminate land market distortions and other market-related inefficiencies.
{"title":"Regional and Urban Impacts of Foreign Direct Investment in India","authors":"O. Mathur","doi":"10.1093/oso/9780198829225.003.0012","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0012","url":null,"abstract":"Foreign direct investment (FDI) has, in the post-1991 period, acquired considerable importance in India. This chapter analyses the regional distribution of FDI flows and explores the role of urbanization in determining FDI location choices. Three points emerge from the chapter. First, the regional distribution of FDI in India is grossly uneven. Most FDI flows are directed to regions which are more urbanized and have metropolitan dominance. Second, urbanization and its associated factors such as market size, population density, and infrastructure such as road density and teledensity are important determinants of FDI. Third, relative to India’s share in global population and global GDP, India’s share in global FDI is small. The chapter points out that for India to be able to reap the potential benefits of FDI, it will need to make heavy investments in urban infrastructure and services and eliminate land market distortions and other market-related inefficiencies.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"585 ","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"133323336","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0005
O. Mathur
This chapter examines India’s urbanization and urban system. It shows that urbanization in India continues to be driven by natural increase and reclassification of rural settlements into urban, with rural-to-urban migration playing, at best, a modest role in the urbanization process. Recent economy-wide shifts including higher economic growth have made little impact on either the pace or the structure of urbanization, which continues to be dominated by a large number of small towns and a small number of large cities. India’s urban system displays neither primacy nor does it conform to the rank-size distribution. Upper-tail cities are not large enough to fit into the rank-size distribution and the populations of the lower end are smaller than the predicted values, raising questions about their capacity to generate scale and agglomeration economies. Marked variations are observed in urban systems across states. This chapter emphasizes the need for further research to help understand the urban systems of India’s federal structure.
{"title":"City-Size Distributions in a Quasi-Open Economy: The India Evidence","authors":"O. Mathur","doi":"10.1093/oso/9780198829225.003.0005","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0005","url":null,"abstract":"This chapter examines India’s urbanization and urban system. It shows that urbanization in India continues to be driven by natural increase and reclassification of rural settlements into urban, with rural-to-urban migration playing, at best, a modest role in the urbanization process. Recent economy-wide shifts including higher economic growth have made little impact on either the pace or the structure of urbanization, which continues to be dominated by a large number of small towns and a small number of large cities. India’s urban system displays neither primacy nor does it conform to the rank-size distribution. Upper-tail cities are not large enough to fit into the rank-size distribution and the populations of the lower end are smaller than the predicted values, raising questions about their capacity to generate scale and agglomeration economies. Marked variations are observed in urban systems across states. This chapter emphasizes the need for further research to help understand the urban systems of India’s federal structure.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"56 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132393312","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0015
C. Xing
This chapter explores the relationship between human capital development and urbanization in the People’s Republic of China, highlighting the Hukou system and decentralized fiscal system. Educated workers disproportionately reside in urban areas and in large cities, and the returns to education are higher in urban areas relative to those in rural areas, and in large, educated cities relative to small, less educated cities. In addition, the external returns to education in urban areas are at least comparable to the magnitude of private returns. Rural areas are the major reservoir for urban population growth, and the more educated have a higher chance of moving to cities and obtaining urban Hukou. As for health, rural–urban migration is selective in that healthy rural residents choose to migrate. However, occupational choices and living conditions are detrimental to migrants’ health. While migration has a positive effect on migrant children, its effect on ‘left-behind’ children is unclear.
{"title":"Human Capital and Urbanization in the People’s Republic of China","authors":"C. Xing","doi":"10.1093/oso/9780198829225.003.0015","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0015","url":null,"abstract":"This chapter explores the relationship between human capital development and urbanization in the People’s Republic of China, highlighting the Hukou system and decentralized fiscal system. Educated workers disproportionately reside in urban areas and in large cities, and the returns to education are higher in urban areas relative to those in rural areas, and in large, educated cities relative to small, less educated cities. In addition, the external returns to education in urban areas are at least comparable to the magnitude of private returns. Rural areas are the major reservoir for urban population growth, and the more educated have a higher chance of moving to cities and obtaining urban Hukou. As for health, rural–urban migration is selective in that healthy rural residents choose to migrate. However, occupational choices and living conditions are detrimental to migrants’ health. While migration has a positive effect on migrant children, its effect on ‘left-behind’ children is unclear.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129001195","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0018
Surender Kumar
The chapter aims to review the state of water and sanitation facilities in Indian cities, and policy interventions undertaken to address inadequacies in the provision of these services. The power-law relationship reveals that greater autonomy in management helps in realizing economies of scale. The chapter also measures technical and scale efficiency in the provision of these services in Indian cities. Estimates of technical efficiency uncover that water and sanitation service providers have the potential to increase service levels by 37 and 48 per cent respectively. Note that most Indian urban water and sanitation utilities are operating at decreasing returns to scale. This implies that services may be charged following the rule of marginal cost pricing. The chapter also finds that there are consumption-metering advantages in improving efficiency of water utilities.
{"title":"Urbanization, Water Supply, and Sanitation in India","authors":"Surender Kumar","doi":"10.1093/oso/9780198829225.003.0018","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0018","url":null,"abstract":"The chapter aims to review the state of water and sanitation facilities in Indian cities, and policy interventions undertaken to address inadequacies in the provision of these services. The power-law relationship reveals that greater autonomy in management helps in realizing economies of scale. The chapter also measures technical and scale efficiency in the provision of these services in Indian cities. Estimates of technical efficiency uncover that water and sanitation service providers have the potential to increase service levels by 37 and 48 per cent respectively. Note that most Indian urban water and sanitation utilities are operating at decreasing returns to scale. This implies that services may be charged following the rule of marginal cost pricing. The chapter also finds that there are consumption-metering advantages in improving efficiency of water utilities.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"46 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115210178","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2019-10-24DOI: 10.1093/oso/9780198829225.003.0004
Zhao Chen, Ming Lu
There is a trend of population concentration towards large coastal cities in The People’s Republic of China (PRC). However, there is a distortion of city size towards small cities in the PRC. That is to say, urban population in China should further concentrate in large cities rather than be more equally spread out. Cross-country analysis also indicates that the population size of the primary city in the PRC is smaller than its predicted value. The discussion in this chapter suggests that the Chinese government should adjust the policies on future urbanization with fewer restrictions on the further growth of megacities.
{"title":"Urban System and Urban Development in the People’s Republic of China","authors":"Zhao Chen, Ming Lu","doi":"10.1093/oso/9780198829225.003.0004","DOIUrl":"https://doi.org/10.1093/oso/9780198829225.003.0004","url":null,"abstract":"There is a trend of population concentration towards large coastal cities in The People’s Republic of China (PRC). However, there is a distortion of city size towards small cities in the PRC. That is to say, urban population in China should further concentrate in large cities rather than be more equally spread out. Cross-country analysis also indicates that the population size of the primary city in the PRC is smaller than its predicted value. The discussion in this chapter suggests that the Chinese government should adjust the policies on future urbanization with fewer restrictions on the further growth of megacities.","PeriodicalId":405359,"journal":{"name":"Cities of Dragons and Elephants","volume":"2 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"114450089","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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