THE STRUCTURE OF THE URBAN ECONOMY
Most simply, the upper circuit consists of intensive activities such as capital. and industry, banking, export trade services, and modern urban industry, trade and circuit wholesaling and transport. The lower comprises non-capital-intensive forms of manufacturing, non-modern services rovided at the retail level, generally small-scale trade (Figure and non-modem and 24).
THE UPPER CIRCUIT
Within the upper circuit we may differentiate three types of activities according to their degree of integration with the city. 1. Integrated. Modern urban industry, trade and modern services are integrated elements since they are activities peculiar to both the city and the upper circuit.
2. Non-integrated. Export-oriented industry and trade are non-integrated activities, for although they are situated in the city to benefit from locational advantages, outputs are consumed outside the city in another part of the world economy, and most activities are controlled by external interests. Banking is included in this category, since it acts as a link between the modern activities of the city and larger cities both within the country and abroad.
3. Mixed aactivities. Wholesaling and transportation are mixed activities, being linked to both upper and lower circuits of the urban economy. The wholesaler, for example, is both an integrating element within the upper circuit and the apex of a pyramid of intermediaries reaching down to the itinerant hawker and street vendor. The fundamental organisational differences between the activities of the upper and lower cir cuts are summarised in Table 24.1. Although this schema is useful generally, it should not be taken to indicate a separation or dualism between the two sectors. Members of one social stratum may consume outside the corresponding circuit, although this consumption will be partial and occasional. For example, the self-employed repairers of audicequipment in the lower circuit are often dependent on imported supplies, and individuals more directly attached to the lower circuit may occasionally sell their labour in the upper circuit. A number of studies have explored the linkages between the two sectors of the urban economy (Box 24.1).
THE STRUCTURE OF THE URBAN ECONOMY
Most simply, the upper circuit consists of intensive activities such as capital. and industry, banking, export trade services, and modern urban industry, trade and circuit wholesaling and transport. The lower comprises non-capital-intensive forms of manufacturing, non-modern services rovided at the retail level, generally small-scale trade (Figure and non-modem and 24).
THE UPPER CIRCUIT
Within the upper circuit we may differentiate three types of activities according to their degree of integration with the city. 1. Integrated. Modern urban industry, trade and modern services are integrated elements since they are activities peculiar to both the city and the upper circuit.
2. Non-integrated. Export-oriented industry and trade are non-integrated activities, for although they are situated in the city to benefit from locational advantages, outputs are consumed outside the city in another part of the world economy, and most activities are controlled by external interests. Banking is included in this category, since it acts as a link between the modern activities of the city and larger cities both within the country and abroad.
3. Mixed aactivities. Wholesaling and transportation are mixed activities, being linked to both upper and lower circuits of the urban economy. The wholesaler, for example, is both an integrating element within the upper circuit and the apex of a pyramid of intermediaries reaching down to the itinerant hawker and street vendor. The fundamental organisational differences between the activities of the upper and lower cir cuts are summarised in Table 24.1. Although this schema is useful generally, it should not be taken to indicate a separation or dualism between the two sectors. Members of one social stratum may consume outside the corresponding circuit, although this consumption will be partial and occasional. For example, the self-employed repairers of audicequipment in the lower circuit are often dependent on imported supplies, and individuals more directly attached to the lower circuit may occasionally sell their labour in the upper circuit. A number of studies have explored the linkages between the two sectors of the urban economy (Box 24.1).
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