Large cities have higher productivity than smaller cities. Smaller cities have higher productivity than rural areas. Generally speaking cities' productivity is

Large cities have higher productivity than smaller cities. Smaller cities have higher productivity than rural areas. Generally speaking cities' productivity is proportional to their size This happens because cities achieve agglomeration economies through the clustering of activities, labor pooling and knowledge spillovers. http://www.nber.org/chapters/c7977.pdf http://www.nber.org/chapters/c7977.pdf https://en.wikipedia.org/wiki/Economies_of_agglomeration https://en.wikipedia.org/wiki/Economies_of_agglomeration