DO LARGE AGGLOMERATIONS LEAD TO ECONOMIC GROWTH? EVIDENCE FROM URBAN INDIA | Zendy

Tripathi Sabyasachi | Zendy

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DO LARGE AGGLOMERATIONS LEAD TO ECONOMIC GROWTH? EVIDENCE FROM URBAN INDIA

Author(s) -

Tripathi Sabyasachi

Publication year - 2013

Publication title -

review of urban & regional development studies

Language(s) - English

Resource type - Journals

SCImago Journal Rank - 0.184

H-Index - 21

eISSN - 1467-940X

pISSN - 0917-0553

DOI - 10.1111/rurd.12014

Subject(s) - urban agglomeration , economies of agglomeration , economic geography , gross domestic product , empirical evidence , urban economics , economics , product (mathematics) , geography , economy , economic growth , philosophy , geometry , mathematics , epistemology , microeconomics

The cities and towns of India constitute the world's second largest urban system and contribute over 50% of the country's gross domestic product (GDP). This phenomenon has been neglected by the existing studies and writings on urban India. By considering 59 large cities in India and employing new economic geography models, this paper investigates the relevant state‐ and city‐specific determinants of urban agglomeration and urban economic growth. In addition, the effect of urban agglomeration on India's urban economic growth is estimated. The empirical results show that agglomeration economies are policy‐induced as well as market‐determined and offer evidence of the strong positive effect of agglomeration on urban economic growth in India's urban system.

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