TY - BOOK AU - Henderson,Vernon AU - Henderson,Vernon TI - How Urban Concentration Affects Economic Growth PY - 1999/// CY - Washington, D.C. PB - The World Bank KW - Capital KW - Consumers KW - Costs KW - Development KW - Economic Efficiency KW - Economic Geography KW - Economic Growth KW - Economic Theory and Research KW - Economies Of Scale KW - Economy KW - Emerging Markets KW - Externalities KW - Finance and Financial Sector Development KW - Financial Literacy KW - GDP KW - GDP Per Capita KW - Goods KW - Growth Rate KW - Health, Nutrition and Population KW - Income KW - Industrialization KW - Inequality KW - Labor Policies KW - Macroeconomics and Economic Growth KW - Marginal Benefits KW - Markets KW - Population Policies KW - Poverty Reduction KW - Private Sector Development KW - Pro-Poor Growth KW - Social Protections and Labor KW - Telecommunications KW - Transactions Costs KW - Transport KW - Transport Economics, Policy and Planning KW - Urban Development Policies and Strategies KW - Urban Housing and Land N2 - April 2000 - 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. Henderson explores the issue of urban overconcentration econometrically, using data from a panel of 80 to 100 countries every 5 years from 1960 to 1995. He finds the following: At any level of development there is indeed a best degree of national urban concentration. It increases sharply as income rises, up to a per capita income of about UR - http://elibrary.worldbank.org/doi/book/10.1596/1813-9450-2326 ER -