Deck 7: Urbanization and Rural-Urban Migration: Theory and Policy  

Question 1

Explain what is meant by urban bias.What are the major effects of urban bias?

Answer 1

not answered

Question 2

Describe some of the benefits and costs associated with the emergence of large cities in developing countries.

Answer 2

Benefits include the ability to learn from others that are located in close proximity, a reduction in transportation costs, and a large availability of skilled labor.Costs include congestion and pollution.

Question 3

According to the United Nations, Millennium Development Goals Report, the annual growth in % of slum population from 1990-2001 has been the largest in:
(a) Latin America and the Caribbean
(b) South-East Asia
(c) Sub-Saharan Africa
(d) Southern Asia

Answer 3

C

Question 4

The informal sector exhibits
(a) free entry
(b) labor intensive methods
(c) small, competitive firms
(d) all of the above

Question 5

Even though women may often constitute the majority of the rural-urban migrants in a country, they usually still remain employed in the informal sector.Why? What are the consequences of this?

Question 6

Explain why policies designed to reduce urban unemployment may not greatly reduce poverty in developing countries.

Question 7

Other things constant, the elimination of factor price distortions in developing countries would most likely
(a) decrease rural-urban migration.
(b) have little effect on rural-urban migration.
(c) increase rural-urban migration.
(d) increase urbanization.

Question 8

Suppose the rural wage is $1 per day.Urban modern sector employment can be obtained with
5 probability and pays $2 per day.Will there be any rural-urban migration? Explain your
reasoning, stating explicitly any simplifying assumptions, and show all work.

Question 9

Point out the main differences in job conditions and worker characteristics between the urban formal and informal sectors.

Question 10

Explain some important policy measures that you would expect to reduce excessive rural-urban migration.Explain.

Question 11

Discuss the importance of rural-urban migration as a source of urban population growth in various parts of the developing world, being as specific as you can.

Question 12

How could the removal of labor market distortions increase employment even if the elasticity of factor substitution is very low?

Question 13

Are developing country cities too large, too small, or about right in size? Justify your answer with evidence from developing economies.

Question 14

Describe some of the causes of urban giantism in developing countries.

Question 15

Why is urban giantism less prevalent in mature democracies?

Question 16

What are the characteristics of those who migrate to urban areas? What positive and negative effects does their leaving have on those who remain?

Question 17

An argument supporting promotion of the urban informal sector is
(a) the formal sector is incapable of providing enough employment.
(b) informal sector workers are poorly educated.
(c) it uses a relatively high capital intensity.
(d) it would reduce urban bias.

Question 18

If the rural wage is 4 and the formal urban wage rate is 10, there will be rural to urban migration if the formal urban unemployment rate is
(a) 50%
(b) 60%
(c) 70%
(d) all of the above

Question 19

What are the main features of the Harris-Todaro model of rural-urban migration?

Question 20

Rural-urban migrants differ from the rest of the rural population in that they are more likely to be
(a) well educated
(b) poor
(c) female
(d) all of the above

Question 21

For what percentage of urban population growth is rural-urban migration responsible?
(a) between 35% and 60%.
(b) between 40% and 80%.
(c) between 50% and 70%
(d) between 50% and 90%.

Question 22

According to UN projections, what proportion of the world's urban population will reside in the urban areas of developing countries by 2025?
(a) two fifths.
(b) one half.
(c) two thirds.
(d) four fifths.