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Industrialisation and urbanisation - archinu - 11-26-2014

Industrialisation and urbanisation

Urbanisation : A process of urban growth guided by socio-cultural, economic, political and physical factors and spatio-economic planning interventions.

A process in which labour from rural areas moves to urban areas to meet the demand for cheap labour for industrial development leads to urbanisation. The driving force for rural-urban migration mostly refers to economic incentives, as described in Todaro's model, in which people's decision to move to urban areas is rationally based on expectation of higher real income.