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Globalization and the world of large cities Note to the reader from the UNU The United Nations University Institute of Advanced Studies Programme on Mega- cities and Urban Development was initiated to examine the growth and management of large metropolitan agglomerations, especially in the developing world. This volume is the fifth in a series of studies that began in the early 1990s. It follows the release of Mega-city Growth and the Future (Tokyo: UNU Press, 1994), Emerging World Cities in Pacific Asia (Tokyo: UNU Press, 1996), The Mega-city in Latin America (Tokyo: UNU Press, 1996), and The Urban Challenge in Africa: Growth and Management of Its Large Cities (Tokyo: UNU Press, 1997). The contribution of this book includes discussions of the key elements of globalization and the role that cities play in the economic restructuring process. Chapters in the volume present analyses in five crucial areas for large cities: new technologies; global finance; transportation and tele- communications; rural–urban relations; and urban food supply. Globalization and the world of large cities EditedbyFu-chenLoand Yue-man Yeung United Nations a University Press TOKYO u NEW YORK u PARIS ( The United Nations University, 1998 The views expressed in this publication are those of the authors and do not necessarily reflect the views of the United Nations University. United Nations University Press The United Nations University, 53-70, Jingumae 5-chome, Shibuya-ku, Tokyo 150, Japan Tel: (03) 3499-2811 Fax: (03) 3406-7345 E-mail: [email protected] United Nations University Office in North America Room DC2-2050–2058, New York, NY 10016, USA Tel: +1-212-963-6387 Fax: +1-212-371-9454 E-mail: [email protected] United Nations University Press is the publishing division of the United Nations University. Cover design by Andrew Corbett Printed in Hong Kong UNUP-999 ISBN 92-808-0999-7 Library of Congress Cataloging-in-Publication Data Globalization and the world of large cities / edited by Fu-chen Lo and Yue-man Yeung. p. cm. Includes bibliographical references and index. ISBN 9280809997 1. Metropolitan areas. 2. Urbanization. 3. International economic relations. I. Lo, Fu-chen. II. Yeung, Yue-man. HT330.G56 1998 307.76—dc21 98-19736 CIP Contents List of tables and figures viii Preface xv 1. Introduction 1 Fu-chen Lo and Yue-man Yeung Part 1: Regional surveys and selected world cities 2. Globalization and the world cities 17 Peter Hall 3. World city regions in Europe: Structural change and future challenges 37 Klaus R. Kunzmann 4. World cities in North America: Structural change and future challenges 76 Peter Gordon and Harry W. Richardson v Contents 5. The growth of Tokyo as a world city 109 Masahiko Honjo 6. Globalization and world city formation in Pacific Asia 132 Yue-man Yeung and Fu-chen Lo 7. Urban corridors in Pacific Asia 155 Sang-chuel Choe 8. World cities and the urban future: The view from Latin America 174 Alan Gilbert 9. Rio de Janeiro as a world city 203 Hamilton C. Tolosa 10. Islamic cities in the world system 228 Salah El-Shakhs and Ellen Shoshkes 11. Cairo as a world city: The impact of Cairo’s orientation towards globalization 270 Mahmoud Yousry, Tarek Abu-Zekry, and Ahmed M. Yousry 12. Globalization trends and sub-Saharan African cities 314 Carole Rakodi 13. ‘‘Johannesburg’’: Coming to grips with globalization from an abnormal base 352 Keith Beavon Part 2: Key issues about the urban future 14. The impact of the new technologies and globalization on cities 391 Saskia Sassen 15. World cities as financial centres 410 David R. Meyer vi Contents 16. Transport and telecommunications among world cities 433 Peter J. Rimmer 17. Globalization and rural–urban relations in the developing world 471 T. G. McGee 18. Feeding the world’s cities 497 Hal Kane Contributors 519 Index 521 vii Tables and figures Tables 1.1 Shares of manufacturing in GDP, 1970–1993 3 1.2 Shares of service sector in GDP, 1970–1993 6 3.1 The world’s 10 largest cities in the sixteenth, seventeenth, and twentieth centuries 38 3.2 World cities in Europe according to various sources 41 3.3 The degree of urbanization in selected European countries, 1950 to 2020 44 3.4 The concentration of national population in world city regions in Europe, 1987 45 3.5 Population growth of European world city regions, 1800 to 1960 50 3.6 World city regions in Europe: Population development, 1980 to 1990 51 3.7 World city regions in Europe: Gross domestic product 52 3.8 World city regions in Europe: Unemployment 54 3.9 World city regions in Europe: Population, area, and administrative units 57 3.10 World city regions in Europe: Media power 59 viii List oftables and figures 3.11 World city regions in Europe: Airports, passengers, and freight volumes, 1990 70 4.1 The growth and decline of US cities, 1980–1990 79 4.2 Metropolitan population (CMSAs and MSAs) by size class in 1990, 1970–1990 83 4.3 Percentage population change for regional and metropolitan categories, 1960–1990 84 4.4 Percentage change in the 25 largest metropolitan areas in North, South, and West regions, 1960–1990 86 4.5 Metropolitan areas with greatest 1980–1990 increases: Total population 87 4.6 1990 population and 1980–1990 percentage change of total population: Non-Hispanic whites, all minorities, Blacks, Hispanics, and Asians by regional and metropolitan categories 89 4.7 1990 percentage for minorities, and 1980–1990 percentage change for non-Hispanic whites and minorities in primary central cities and surrounding suburbs of the 25 largest metropolitan areas in North, South, and West regions 91 4.8 Average annual growth rates in employment: 17 CMSAs, 1972–1992 93 4.9 Specializations of 12 CMSAs by maJor economic sector 95 4.10 Percentage change in primary central cities and surrounding areas of the 25 largest metropolitan areas in North, South, and West regions 96 4.11 Shares of sectoral employment: Combined (12) major CMSAs, 1982, 1987, 1992 99 4.12 Average annual sectoral employment growth rates: Combined (12) major CMSAs, 1982–1992 100 4.13 Average annual Job growth rates: 12 CMSAs, 1982–1992 102 4.14 Average annual service sectors Job growth rates: 12 CMSAs, 1987–1992 103 4.15 Shares of jobs in outer suburbs: Selected sectors, full-time and part-time employment, 1972–1992 105 6.1 Direct investment in Pacific Asia from and into the economies of the Pacific Economic Cooperation Council 138 6.2 Manufactures as a share of total exports: ASEAN countries, 1980–1990 140 ix List oftables and figures 6.3 Direct investment in ASEAN, 1988–1990 141 6.4 Varying rates of population growth in Jakarta, Hong Kong, and surrounding cities 144 7.1 Urbanization profile of East and South-East Asia 157 7.2 The urban population in East and South-East Asia 158 7.3 Ranking of city agglomerations by population, 1960, 1980, and 2000 160 7.4 Urban population and number of cities in the BESETO urban corridor 163 8.1 Urban population in Latin America (settlements with more than 20,000 inhabitants), 1940–1990 175 8.2 Major Latin American cities: Annual population growth rates, 1950–1990 176 8.3 Latin America’s giant cities, 1990 179 8.4 Latin America: Export performance of selected countries, 1965–1992 189 8.5 Economic growth in selected Latin American countries, 1980–1993 197 9.1 Urbanization ratios in territorially large upper- middle-income Latin American countries, 1970–1990 205 9.2 World cities in Latin America: Population growth, 1970–1990 206 9.3 The population of pairs of major metropolitan areas as a percentage of total urban population, 1970–1990 207 9.4 Metropolitan population growth in Brazil, 1970–1991 212 9.5 World cities in Brazil: Performance of global industries and services, 1985 215 9.6 The number of leading financial institutions with headquarters in Rio or Sa˜o Paulo and their transaction values, 1984 and 1993 219 9.7 Business and engineering consultancy firms, by number of graduates, 1987 221 10.1 Population size and percentage increase: World, more developed regions, less developed regions, and Muslim countries, 1995–2025 234 10.2 The world’s 30 mega-cities by rank in the year 2010: Their growth and share of national urban populations 236 10.3 Total population, percentage Muslim, and large cities (1þ million in 1995) in countries where Muslims constitute the largest religious group 239 x List oftables and figures 10.4 Population of the mega-city as a percentage of its country’s national urban population, 1950–2010 242 10.5 Average annual rate of growth of the Muslim mega-cities 243 10.6 Income, assistance, debt, and workers’ remittances to selected Muslim countries 246 11.1 Certified local investment and foreign loans and grants in the construction and public utilities sectors up to 1993 280 11.2 Accomplished investments