Abstract
Shanghai is also a successful case since China’s national leadership decided to prioritize it for the national development from the early 1990s. It has all five factors of success. First, the national development strategy was clear; thus, Shanghai has been prioritized for the national economic development and openness. Second, Shanghai has been allowed to keep very high shares of the budget revenue and expenditure. In recent years, in comparison to the GDP, it is over 20%, twice as Seoul’s, three to four times higher than those of the other cities. Third, it has consistently pursued long-term strategies. Fourth, there have been many public entrepreneurs with powerful supporting coalitions. Fifth, a highly centralized government structure is positive for Shanghai’s development. However, the role of urban planning is limited.
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The growth mainly began in 1978 when China started its reform. From 1978 to 2015, China’s economy expanded 30.3 times while that of Shanghai increased 14.8 times. Because of the difference in population growth, the GDP per capita of China and Shanghai increased 21.1 and 6.7 times, respectively. Therefore, the gap of GDP per capita between Shanghai and China shrank from 6.5 times in 1978 to 2.1 times in 2015.
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Huynh, D. (2020). Shanghai. In: Making Megacities in Asia. SpringerBriefs in Regional Science. Springer, Singapore. https://doi.org/10.1007/978-981-15-0660-4_5
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