Cities, Information, and Economic GrowthAbstractFor centuries economists have fervently sought to understand the forces behind economic progress. Smith (1776), Marx (1909), Marshall (1890), Young (1928), and Keynes (1936) all hotly pursued this topic. In the post-World War II period, economic theorists, development economists, macroeconomists, econometricians, economic historians, and growth economists have devoted considerable energy to thinking about the forces behind long-run growth rates.It would be impossible to claim that these economists have reached a consensus on the causes of growth, but it seems clear that the growth of economies does not involve the simple accumulation of capital and labor. Theoretical models of capital accumulation (based on Solow, 1956, for example) ultimately leave the growth rate as an unexplained outside parameter. Empirically the stunning range of cross-national experiences makes it clear that the forces driving growth are rich and varied. Cities, Information, and Economic Growth (*.pdf, 137 KB)
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