What’s in it for me? Understand what makes the world’s greatest economies tick

Cities can play a major role in determining a nation’s economic success.
You may have noticed that major cities can serve as a good representation of a nation’s economic success or failure. That’s because the tricky business of development and urbanization can play a big role in a country’s economic prosperity.
For instance, nations with unstable governments will often have some bloated capital cities that reflect their problems.
During the time of the Roman Empire, Rome was a city that represented both abundant growth and the instability of the government. As well as being the center of commerce and industry, it was also filled with citizens demanding food, jobs and welfare. To support the outsized city, the surrounding areas were heavily taxed and made unsafe by constant warfare.
Today, overpopulated cities like Buenos Aires and Mexico City are similar in the way they reflect the lack of opportunity elsewhere in their countries.
In fact, 35 percent of the entire nation of Argentina resides in Buenos Aires. This statistic shows how the country’s failed agricultural programs have provided citizens with few options for prosperity other than by finding work in the city.
The same situation is visible in many of Africa’s cities, as well.
When a country rushes towards urbanization, it can often happen at the expense of the rest of the nation. The development of Zambia’s capital city of Lusaka was paid for by taxing the countryside. As a result, farmers were driven out of business, and forced to move to the city and live in slums known as shantytowns.
A successful city, by contrast, is one that contributes to a diversified national economy in more than one way.
Cities like Madrid and Chicago have thrived and remained healthy because their success is not dependent on one kind of business or technology. This is in stark contrast to a city like Detroit which relied too heavily on the automotive industry and ended up in economic despair when the industry dried up.