“…This argument goes all the way back to Friedrich Engels ( [1845])’s emphasis on the role of manufacturing in pulling rural migrants into cities and more recently formed the basis for Todaro ()’s noted model, whereby rural inhabitants migrated to urban areas despite notable levels of urban unemployment due to expected future wages (see Kelley & Williamson, , for an overview). For much of the 20th century, the wage gap/structural transformation argument was seen as convincing (Brueckner, ) and still appears to be convincing in explaining urbanization in Europe and North America (Boustan, Bunten, & Hearey, ; Michaels, Rauch, & Redding, ; Nunn & Qian, ; Voigtländer & Voth, ). Similarly, some cross‐national analyses have used pooled‐OLS to find a robust relationship between GDP/capita, the sectoral composition of GDP and/or the labor force, and levels of urbanization (Davis & Henderson, ; Moomaw & Shatter, ).…”