ECO320- Development Economics

Urbanization

Questions:

1- Urban Gigantism. Do you think that there is a First City Bias in Tunisia? How would you describe it?
What type of opportunities can be found in Tunis and not in other cities?

2- Urban Informal Sector. Choose an urban area of Tunisia that you know well and describe the formal
and informal activities that take place. Describe the split of activities between women and men.

1- Urban Gigantism:

• Definition:

The concepts of "Urban Gigantism" pertain to the prevalence of one city dominating all over
other cities in each country.

✓ This phenomenon is characterized by massive cities that house a significant portion of the
country's population and economic activity. While these "primate cities" are often the capital
cities, this is not always the case.

✓ Specifically, "Urban Gigantism" refers to a metropolis with a population more than twice that of
the country's second-largest city, which prompts the implementation of policies designed to
address this concentration of population and resources.

How to Compute the Index of Urban Gigantism?

The level of urban primacy can be quantified by dividing the population of the largest national city by
the population of the second largest city, or by measuring the proportion of a country's population in
the primate city.

• Causes of Urban Gigantism:

1- Regarding the economy, it is evident that many nations impacted by this phenomenon have
deficiencies in their economic structures, procedures, production, distribution, and consumption
systems. One common trait among these nations is their heavy reliance on a single-product
economy.

2- The increase in urban population is not due to natural growth but rather migration from rural
areas and smaller towns to urban centers, primarily driven by economic opportunities.

3- The political systems of these countries tend to be centralized, and their planning and
development strategies are typically top-down and authoritarian. This approach contributes to the
incentives for urban primacy, as capital cities serve as these nations' political and administrative
centers.
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 4- The colonial history of these countries is another factor often cited as a contributing factor to
the development of these colonial cities.

➢ Urban population growth is rapidly increasing in less-developed regions of Asia, Africa, and
Latin America. The population density in cities is now concentrated in these developing
countries, rather than in industrialized nations.

Projections indicate that the global urban population will exceed 5 billion by 2025, with more than
90% of this population residing in developing nations. This trend towards high urban concentration
and urban primacy is a defining characteristic of urbanization in these developing countries.

• Urban Gigantism in Tunisia:

Do you think that there is a First City Bias in Tunisia?

To address this inquiry, we must first identify the attributes of primate cities:
- They hold significant power and influence over the country.
- They serve as the central focal point of the nation.
- Their size and economic activity act as significant attractions for additional residents.
- This influx of residents’ results in the primate city becoming even larger and more
disproportionate to smaller cities in the country.

Using these characteristics, we can conclude that Tunis, which is the capital city of Tunisia, exhibits First
City Bias. This is evidenced by the fact that the three metropolitan areas of Greater Tunis, Sfax, and
Sousse generate 85% of the country's GDP.

How would you describe it?

Tunis, which is both the capital and largest city of Tunisia, has a broader metropolitan region known as
"Grand Tunis" with a population of nearly 2.7 million people. As of 2020, Tunis ranks as the fourth-
largest city in the Maghreb region and the sixteenth largest in the Arab world. It is also the only
metropolis of national importance in Tunisia, as it serves as the center of political power, housing the
headquarters of the central government, presidency, parliament, ministries, and other governmental
institutions. Additionally, Tunis is a hub of cultural activities such as festivals and mainstream media.
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What type of opportunities can be found in Tunis and not in other cities?

Tunis serves as the economic and industrial center of Tunisia, housing one-third of the country's
companies, including nearly all the head offices of companies with over fifty employees. Additionally, it
generates a third of Tunisia's gross domestic product. Tunis attracts foreign investors, with 33% of
firms, 26% of investments, and 27% of jobs coming from international sources. However, some regions
are unable to participate in this economic growth due to a lack of infrastructure. Tunis provides ample
job opportunities, top-tier universities, high-quality healthcare, and numerous company headquarters.

2- Urban Informal Sector:

• Choose an urban area of Tunisia that you know well and describe the formal and
informal activities that take place.

➢ The Informal Sector: The International Labor Office reports that the urban informal sector is
prevalent among youth (95.8% aged 15-24) and women (92.1%) and plays a significant
role in reducing poverty.

This sector involves economic activities that are typically not subject to official regulations, either
because the regulations do not apply or due to a combination of ineffective enforcement and evasion.

I will choose Tunis as an urban area of Tunisia:

Informal Activities Formal Activities

- Street Selling: - As the capital and only nationally rated

Those who sell goods illegally on the streets in
Tunis face serious consequences, including arrest
and fines. When caught, authorities confiscate their
goods and hold the vendors in detention centers
for up to three days. The number of street vendors
has increased significantly since the 2011
revolution, with a stagnant economy forcing many
people from the country's poorer regions to sell
goods on the streets of Tunis.
- Home-Based Businesses:
Many Tunisians have started running businesses
from their homes to make them easier to manage,
particularly for women who may have other
responsibilities such as childcare. These businesses
include selling clothes, homemade sweets, and
traditional food, and providing sewing services,
among others.
metropolis of Tunisia, Tunis is a hub for
various formal activities, including health,
tourism, education, and administration.
- In terms of healthcare, Tunis is home to
numerous hospitals, clinics, and medical
centers, including La Rabta Hospital, one of
the largest hospitals in the country. The city
also boasts several specialized medical
facilities, such as the National Center of
Oncology, the National Institute of
Neurology, and the National Institute of
Cardiology.

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 - Garbage Collectors:
The garbage collectors of Tunis collect recyclable
materials such as plastics. They see their work as
useful and essential for keeping the country clean.
It is estimated that there are around 8,000 garbage
collectors, most of whom have no social security
coverage.
- Unlicensed Transportation:
In Tunis and other cities in Tunisia, it is common to
see informal taxi services such as shared taxis and
motorbike taxis. These drivers often operate
without licenses or insurance and are not subject to
the same regulations as formal taxi services.
• Describe the split of activities between women and men.
- Tourism is another significant industry in
Tunis, with the city attracting visitors from
around the world to its historic landmarks
and cultural attractions. The Bardo
Museum, one of the largest museums in
North Africa, is in Tunis, as is the famous
Carthage archaeological site. The city also
offers a variety of accommodation options,
ranging from luxury hotels to budget-
friendly guesthouses.
- Education is another important sector in
Tunis, with several prestigious universities
and research institutions located in the city.
The University of Tunis El Manar, the largest
university in Tunisia, is based in Tunis, as are
several other universities and research
centers.
- Finally, Tunis serves as the administrative
center of Tunisia, with many government
offices and agencies located in the city. This
includes the presidential palace, the
parliament building, and numerous
ministries and government departments.
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• The breakdown of activities performed by women and youth in the informal economy is depicted
in the accompanying charts.

• The chart on the right indicates that a significant number of young individuals opt to work in the
tourism industry (69%) and other low-skilled sectors (65%), which may indicate a lack of job
security among this demographic. It is worth noting that the tourism industry is typically seasonal
and offers low wages and has been further impacted by the country's recent security concerns.

• In contrast, the chart on the left shows that a large proportion of women work in the textile
industry, comprising over 80% of the workforce, while women also make up a significant
percentage of the education workforce, with 73% of the workforce in this sector being female.

➢ When searching for employment in the private sector, most female respondents (61.4%) report
experiencing discrimination. Meanwhile, a slightly smaller majority (44.4%) report
discrimination in the public sector. In comparison, a notable percentage of young males in both
the commercial (44.1%) and public (32.4%) sectors acknowledge the presence of discrimination
in the hiring of women.

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References:

• Overview of the Law of the Primate City (thoughtco.com)

• Tunisie : les barbechas assurent le recyclage des déchets (francetvinfo.fr)

• Illegal street vendors struggle for survival in post-revolution Tunisia | Middle East Eye édition
française

• The Urban Informal Economy: Towards more inclusive Cities - Urbanet

• Tunisia.Informal-Economy-Report.UGTT_.2014.ENGLISH.pdf (solidaritycenter.org)

• The urban informal economy, local inclusion and achieving a global green transformation -
ScienceDirect

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