What type of study is this?

This is a ARDL study (also classified as: Observational).

September 10, 2025

Agglomerations, Urbanization and Economic Prosperity in Pakistan: A Demographic Analysis Using Ardl Approach for Time Series Data

Puntos clave

Agglomeration economies contribute positively to economic prosperity in the long run, enhancing growth.
The share of overall urban population shows a negative impact on economic prosperity in the short run.
The analysis utilizes the ARDL approach on time series data spanning from 1960 to 2016.
These findings highlight the necessity for government policies to improve urban infrastructure and services.

Resumen

The current study aims to explore the relationship between agglomerations, urbanization and economicprosperity in Pakistan. The empirical analysis is based on secondary dataset i.e. World Development Indicatorsand Autoregressive Distribute Lag Model (ARDL) has been applied for the time period 1960-2016. The findingsdepicts that in the long run agglomeration economies are contributing positively more to economic prosperitycompared to the share of overall urban population. However in the short run the effect of the latter variable isfound negative. All these results suggest that the governments should focus on policies specifically related to theinfrastructure building and the provision of basic services in the cities to improve the process of urbanization.This is the only way to increase the agglomerations in the economy and its outcome in the form of generatingmore economies of scale.

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