The Relationship Between Urbanization

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THE RELATIONSHIP BETWEEN URBANIZATION AND ECONOMIC DEVELOPMENT IN DEVELOPING COUNTRIES Terwase Shabu Department of Geography, Benue State University, Makurdi, Nigeria. Email: terwasesuccess@yahoo.com ABSTRACT The study of urbanization has, in recent years, gained increasing importance in developing countries not only because these countries are in the process of facing rapid urbanization, but also because the process of urbanization has been recognized as part of a larger process of economic development which is affecting developing countries. There are two-side relationships between urbanization and economic development. On the one side, it promotes economic development, while on the other side, it is an impediment to economic development of most nations. This paper correlates urbanization with economic development indicators of developing countries and concludes that there is weak relationship between urban growth and economic development in developing countries. To further the understanding of this relationship, the study also compares the economic situation of urban and rural areas which shows that, it was better in the cities. Keywords: Urbanization, Economic Development, Agglomeration, Specialization and Developing countries INTRODUCTION From earliest beginnings, cities provided opportunities to achieve scale economies through division and specialization of labour, opportunities that are not easily exploited at the rural areas (Meyer, 2000). As urban settlements continue to grow, so the proportion of the world's population living in the towns and cities is rising. The present world population explosion is accompanied by an urban explosion as more people, in almost every country, flock to the towns (Oyeleye, 2007). To a large degree, cities are formed because they provide cost advantages to producers and consumers, through what are called agglomeration
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