Leading Issues in Economic Development

By Gerald M. Meier; James E. Rauch | Go to book overview
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CHAPTER VI
Urbanization and the
Informal Sector

Overview

VI.A. URBAN GROWTH AND INFRASTRUCTURE

SELECTION VI.A.1. URBAN GROWTH IN DEVELOPING COUNTRIES:
A DEMOGRAPHIC REAPPRAISAL

SELECTION VI.A.2. URBAN PRIMACY, EXTERNAL COSTS, AND QUALITY
OF LIFE

SELECTION VI.A.3. THE IMPACT OF THE PRIVATIZATION OF WATER
SERVICES ON CHILD MORTALITY IN ARGENTINA

VI.B. RURAL-URBAN MIGRATION AND THE INFORMAL SECTOR

EXHIBIT VI.B.1. SELF-EMPLOYMENT AND UNPAID FAMILY LABOR

SELECTION VI.B.1. ECONOMIC DEVELOPMENT WITH UNLIMITED
SUPPLIES OF LABOR

SELECTION VI.B.2. A MODEL OF LABOR MIGRATION AND URBAN
UNEMPLOYMENT IN LESS DEVELOPED COUNTRIES

Note VI.B.1. The Lewis Versus the Harris–Todaro View of Underemployment in
Less Developed Countries

SELECTION VI.B.3. WAGE SPILLOVER AND UNEMPLOYMENT IN A WAGE-
GAP ECONOMY: THE JAMAICAN CASE

Note VI.B.2. Econometric Studies of Migration

SELECTION VI.B.4. LABOUR MARKET MODELLING AND THE URBAN
INFORMAL SECTOR: THEORY AND EVIDENCE

SELECTION VI.B.5. THE ROLE OF THE INFORMAL SECTOR IN THE
MIGRATION PROCESS: A TEST OF PROBABILISTIC MIGRATION
MODELS AND LABOUR MARKET SEGMENTATION FOR INDIA


Overview

In Note I.A.2, we pointed out that the share of the labor force employed in agriculture is much smaller in developed countries than in less developed countries. Since agriculture is concentrated in rural areas and industry is typically concentrated in urban areas, we can expect substantial migration from rural to urban areas as a country develops. If one visits the major cities in many less developed countries, one gets a powerful impression that this urbanization pro

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