The paradox of China's growing under-urbanization |
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| Institution: | 1. The University of Toledo, Toledo, OH, USA;2. Shanghai University of Finance and Economics, Shanghai, China;3. Department of Economics, Arizona State University, Box 873806, Tempe, AZ 85287-3806, USA;1. College of Urban and Environmental Science, Northwest University, No. 229, Taibai North Road, Xi’an City 710069, PR China;2. College of Economics and Management, Beijing Forestry University, No. 35, Qinhuadong Road, Haidian District, Beijing 100083, PR China;1. Department of Building and Real Estate, The Hong Kong Polytechnic University, Hong Kong, China;2. Department of Land Management, Zhejiang University, Hangzhou, China;3. Department of Public Policy, The City University of Hong Kong, Hong Kong, China;4. School of Construction Management and Real Estate, The Chongqing University, Chongqing, China;1. Shanghai Key Lab for Urban Ecological Processes and Eco-Restoration, School of Ecological and Environmental Sciences, East China Normal University, Dongchuan Rd. 500, Shanghai 200241, China;2. School of Geographical Sciences, East China Normal University, Dongchuan Rd. 500, Shanghai 200241, China |
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| Abstract: | It is commonly believed that China began the socialist era as a very under-urbanized country relative to its level of development and that it has been eliminating this urbanization gap during the post-1978 period as a result of its economic reforms. Our reexamination of the relationship between per capita income and urbanization that underpins the conventional view suggests that China was not under-urbanized before or during the early period of the reform. Actually, China's urbanization gap appeared and grew in the late period of reform despite mass migration from rural to urban areas. This growing urbanization lag is mainly due to the slow pace in eliminating restrictions on rural–urban migration during a period of rapid economic growth. We call attention to this emerging urbanization lag as it entails significant economic costs in employment and retards economic growth. |
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