Is there really a benefit to the overurbanization in China?

Is Overurbanization really beneficial for china at first glance? Well when I think of China I definitely do not think of overurbanization as being something beneficial, seeing as how it has not worked very well in the past. Well in a recent article it was said that over urbanization would cause an increase economic growth. The article states, “the number of China's city dwellers surpassed its rural population for the first time in 2011.” Generally this means that the cities population will “increase from just above 50 to around 60 percent by 2020 and 65 percent by 2030.” The expansion of urbanization is expected to spread to western China said “Ma Jiantang, head of the National Bureau of Statistics.” This does not seem to benefit anyone but those in charge of corporation (for a while). The article says that "Residents moving from rural to urban areas will see their personal consumption expand by three times, which would bolster the country's economic growth when investment and exports fall.” Well if there is overurbanization there will be more workers but as productivity grows so will the technology, and then technology will take over most jobs and people will be left to struggle to maintain their way of life (because they are used to the introductory salary). In the end this will not be beneficial to many people, as it will in the beginning of a economic depletion due to the demand for jobs and the lack of jobs readily available.

Full article can be found on this link:

http://in.news.yahoo.com/urbanization-major-feature-chinas-economic-growth-100035360.html

Posted by: Jenesis Lopez