state of the world's cities 2012/2013 - United Nations Sustainable ...

Chapter 3.1From ComparativeAdvantage to UrbanProsperityGeography has always played an important role in theevolution of cities. Historically, coastal cities and cities inriver deltas have been preferred locations – at present, 14 ofthe world’s 19 largest cities are port cities. However, withadvances in transport and communication technologies andalso with increasing specialization, other locational factors,beyond positions along waterways, have accelerated thegrowth and development of cities. Even when located in thehinterland, cities located close to other major urban centresor to important urban agglomerations have significantlygained from their position and demonstrated relativelyhigher levels of development. Indeed, new configurationssuch as mega-regions and urban corridors generate regionaleconomies and trigger the evolution of new patterns ofeconomic activity which contribute to prosperity. Similarly,cities which lie in the vicinity of markets and infrastructure,or close to transnationalborders, have also exhibitedIt is time for a tendency to grow andpolicy governments prosper much faster. 1to recognize the existenceThe increasing numberof a wide scope for human of large and dynamic citiesintervention that canwhich are not sea or riverenable cities to enhanceports confirms that muchtheir potential as enginesof today’s and tomorrow’s as geographic location isprosperity, both locally and an important correlate ofnationally.a city’s prosperity, it doesnot explain everything.Many cities derive their prosperity from their capacity toharness other advantages, particularly through repositioningthemselves in the national, regional or global context.Common among all of them has been their capacity tochange and adjust to new circumstances and to build upontheir own history and identity. Such cities have been ableto envision a new future and to use their different forms ofcapital and assets. Critical also has been the ability of thesecities to build social and political consensus. In essence,many cities today are able to deploy the capacity of humanagency and to steer growth in the new direction of choice.Indeed, the prosperity of any city is no accident. It is theresult of innovation, sustained vision and good governance.It is also a result of proper laws, regulations and institutions,as well as reinvigorated planning and adequate policies.Effective use of these instruments and processes hasenabled many cities around the world to optimize theircomparative advantages and to set themselves along thepath of prosperity. They have used a range of avenues andcapitalized on different sets of ‘spokes’ in their drive toshared and sustainable growth and wellbeing.Some cities are enhancing prosperity though strategicthinking and consciousplanning policies. Thisis the case with Dubai infact Geographyalone cannotthe Persian Gulf, whichdetermine which citytook advantage of itswill grow and which willprivileged geographicdecline. Other factorslocation to become thesuch as governmentlargest re-exportingpolicies, corporatecentre in the Middle East, strategies, humancapital, major politicaland today is emergingforces and decisions,as a cosmopolitaninvestments in strategiccentre. Other citiessectors, all have anare devising long-terminfluence on the fate ofvisions with well-defined cities.90