Introduction
The growth of a global city is majorly attributed to the favorable social, economic and political factors prevalent in a country. Most global cities today owe their trajectory of growth to a number of factors. Meanwhile, it is important to have a basic idea of how economic factors influence the growth and prosperity of a city. Some of the indicators that define the overall growth of a city include the sustainability of the people living in the city; this involves the provision of basic amenities such as water and a well-managed sewerage system. Other indicators comprise the extent of diversity of the population that the city has experienced over time; implying that people from different nationalities look up to it as an investment destination. Besides, the economic and business performance of a city is measured by the level of inequality, the competitiveness and the business environment prevalent. These factors can be amalgamated to define the success rate of a city. This research focuses on four cities from different regions of the planet. Indeed, the analysis will focus on the economic and business performance indicators of four cities namely; London, New York, Hong Kong, and Singapore. However, this cross-comparative analysis will be limited to the period from the year 2000 to date. It is equally important to note that such an analysis will give a clear impression of how different cities all over the world have struggled to grow amidst different periods. Notably, I will handle each and every city independently so as to create a clear impression of how they have made it through different periods.
Economic Analysis of London
The business and economic growth of London from a 2000 baseline have exhibited a positive trajectory. The economic growth continued from the year 2000 and became distinct from other cities in England. Principally, in the year 2000, London's economic growth was at par with the overall economic growth of England, and this began to change later in the year 2004. By this time, the economic growth pattern of London had begun accelerating and pulled away from the mainstream economic growth of the entire country. The economic growth trend was experienced until the eve of the 2007 economic recces. At this time, the total output of London city was rated at 156% compared to the national average that stood at just 146% (Lupton, 2013). Moreover, London city improved on its share of English output, hitting a record high of 24% for the first time in English history.
The economic prosperity of London city was partly attributed to the increase in the number of financial services that grew up to 140% between two periods: 2000-20007. Increased prosperity led to an influx of people in the town. Most people came to this city in search for better living and working conditions that did not exist in the rest of the cities in entire England. London became so stable by the eve of the 2007 economic recess, and the prosperity was shared among the entire populace of the city. Notably, the Gross value added (GVA) capital anchored on the residence improved to 55% in this city for just the period stretching between the year 2000 and 20007 (Lupton, 2013). Meanwhile, the GVA for the rest of the cities in England stagnated at a paltry 41%.
Other notable improvements that happened in London city include the growth in the Gross Household Disposable income per capita, and this rate improved to 36% compared to the national average at 32%. Meanwhile, the living condition in London became hard, especially with the high housing prices that have progressively escalated over time. For instance, it would cost one £63,000 more to buy a house in London than in other cities in the UK. On the same note, the prices of houses in London has escalated over the years. Such trends imply a wider social disparity between the low-income earners and the rich. The rich can easily afford the costs, while the poor are forced to spend most of their disposable incomes on rent. The research established that the ratio of the lower quartile house prices to the lower quartile earnings had increased in London to a ratio of 9:1. Apparently, the margin between the poor and the rich was growing with time due to the high living conditions experienced in the city. London's population has grown steadily, and it is because of the high number of people coming to do business in the city. For example, between 2001 and 20002, the population grew by 14%, and the trend is still high to date. The current census results are not yet out, but we preempt a much-improved population growth rate to a city that has attracted different races. Besides, being a cultural and a sporting city in the world, many people identify with it, and it is expected that it would surpass the expected limits of sustainability if not monitored. The business environment has been harmonized to accommodate both the locals and the non-locals. There are several international companies that currently do business in London due to a more regularized and liberal business policies.
Economic Analysis of New York City
New York City has experienced real testing and tumultuous times in the history of the USA. This city has been struck twice by the economic and terrorist disasters in close succession. Before, the 9/11 terror attack, this city was doing well but was later sent into an economic shockwave after this attack. Therefore, the economic recoveries that had been made before this period were all destroyed. The 9/11 attack led to the loss of over 430,000 jobs and an additional loss of wages amounting to over $2.8 billion. Moreover, the state of the economy was low, and particularly, the creative industries experienced significant losses during this period. For example, in the year 2002, following the 9/11 attack, more than 22% of people relying on the creative industries were rendered jobless (NYC Planning, 2016). Today, the city has fully recovered from the 9/11 attack and the impacts of the 2007-2008 economic crisis that almost brought the city down.
Indeed, the New York City has exhibited steady growth in the GDP, for instance, in the year 2005, the Gross city Product grew by 3.6%, compared to an increase of 2.4% that was witnessed in the year 2004. On the same note, the private sector has improved by over 2% signifying a positive trajectory to a full economic recovery (NYC Planning, 2016). Today, more than 200,000 businesses are located in the city, with about 20,000 being non-profits businesses. On the same note, many Fortune 500 companies are currently headquartered in the city (Robinson, 2014). Notably, the city has a diverse workforce and has continually welcome people from different regions to do business. Thus, New York City is currently rated as among the most successful cities globally. The business environment is equally free; the administration tries so hard to bridge the gap between the poor and the rich by creating opportunities for the underprivileged in the society. Between the years 2010 and 2015, sectors such as health care, professional services, accommodation have improved in their ranking, making a living condition in New York City relatively cheap.
Economic Analysis of Hong Kong City
Hong Kong City just like the two cities above has exhibited steady economic growth since 2000. The first measure of economic growth relates to the rate of improvements on the household incomes of the residents. For instance, between 2000 and 2009, the household income of the middle-income households grew significantly. This growth is still experienced today. Meanwhile, while the household income of the middle-income grew, there was a general decline in the household income of the low-income earners. Another measure of the economic increase in Hong Kong relates to the rates of unemployment in the region. The rate of unemployment has fluctuated over time; in the year 2000, the rate stood at 4.9% but rose to 7.9% in 2003 (Core Module 13, 2014). In 2010, the rate of unemployment stood at 4.4%. Notably, this is a lower rate compared to other regions in the globe. Finally, the GDP of Hong City is among the highest globally, and the trend has been positive since 2000. Meanwhile, this city is not as diverse as the two, since its ethnic composition is largely drawn from one region. The business environment is favorable and highly competitive.
Economic Analysis of Singapore City
Singapore just like the other cities has exhibited economic growth amidst challenges that have come its way. This city has exhibited resilience amidst economic challenges facing it from the national and regional level. For example, this city braced the near collapse of the IT industry in 2001 and the spread of the SARS virus in the year 2003. Even the global economic crisis of the year 2008 did not affect its growth pattern. By 2015, the city's GDP stood at over $55,000, is one of the highest globally (Quah, 2015). Employment rates and household incomes have improved since 2000, and they are still projected to improve in the near future. Haseltine, (2013) reiterate that Singapore currently offers high quality and the most affordable health care to its citizens. On the same note, this city has experienced an influx of international citizens, who love it for its peaceful environment and economic stability. The business environment is equally favorable for foreign companies to come and invest.
In conclusion, the four cities above have experienced appreciable growth in their economies. Despite the tough times and the economic crisis, the four cities have proved their potential and overcome such shortfalls. On the same note, these cities are renowned globally, and thus, attract visitors from all over the world. On the same note, the economic indicators point out to a promising future to these four cities.