Frank Neffke

The share of the world population living in cities with more than one million people rose from 11% in 1975 to 24% in 2025 (our estimates). Will this trend toward greater concentration in large cities continue or level off? We introduce two new city population datasets that use consistent city definitions across countries and over time. The first covers the world between 1975 and 2025, using satellite imagery. The second covers the United States between 1850 and 2020, using census microdata. We find that urban growth follows a characteristic life cycle. In the early stages of a country’s urbanization process, large cities grow faster than smaller ones. At later stages, growth rates equalize across sizes. We use this life cycle to project future population concentration in large cities. Our projections suggest that 38% of the world population will be living in cities with more than one million people by 2100. This estimate is higher than the 33% implied by the well-known theory of proportional growth, but lower than the 42% obtained by extrapolating current trends.

Generative coding tools promise big productivity gains, but uneven uptake could widen skill and income gaps. We train a neural classifier to spot artificial intelligence (AI)–generated Python functions in more than 30 million GitHub commits by 160,097 software developers, tracking how fast, and where, these tools take hold. Currently, AI writes an estimated 29% of Python functions in the US—a shrinking lead over other countries. We estimate that quarterly output, measured in online code contributions, consequently increased by 3.6%. AI seems to benefit experienced, senior-level developers: They increased productivity and more readily expanded into new domains of software development. By contrast, early-career developers showed no significant benefits from AI adoption. This may widen skill gaps and reshape future career ladders in software development.

Economic development hinges on structural change, that is, transformations in what an economy produces. The field of economic complexity has investigated this process through two related but distinct branches: one studying how economies diversify, the other how the complexity of an economy is reflected in its output. However, a formal connection between these approaches, and their relationship to classic accounts of structural transformation (for example, from agriculture to manufacturing), remains unclear. Here we introduce a simple dynamical model that links these perspectives through one core idea: economies diversify preferentially into activities related to those they already do. Studying this model yields three main results: It generates quantities resembling economic complexity metrics, suggests these metrics summarize long-term structural change rather than directly infer an economy’s complexity, and reproduces stylized facts of development. Our framework formally connects the field’s conceptual strands, bridges short and long timescales of change, and adds granularity to classic descriptions of development.

Diversified economies are critical for cities to sustain their growth and development, but they are also costly because diversification often requires expanding a city’s capability base. We analyze how cities manage this trade-off by measuring the coherence of the economic activities they support, defined as the technological distance between randomly sampled productive units in a city. We use this framework to study how the US urban system developed over almost two centuries, from 1850 to today. To do so, we rely on historical census data, covering over 600M individual records to describe the economic activities of cities between 1850 and 1940, as well as 8 million patent records and detailed occupational and industrial profiles of cities for more recent decades. Despite massive shifts in the economic geography of the United States over this 170-y period, average coherence in its urban system remains unchanged. Moreover, across different time periods, datasets, and relatedness measures, coherence falls with city size at the exact same rate, pointing to constraints to diversification that are governed by a city’s size in universal ways.

Modern economies require increasingly diverse and specialized skills, many of which depend on the acquisition of other skills first. Here we analyse US survey data to reveal a nested structure within skill portfolios, where the direction of dependency is inferred from asymmetrical conditional probabilities—occupations require one skill conditional on another. This directional nature suggests that advanced, specific skills and knowledge are often built upon broader, fundamental ones. We examine 70 million job transitions to show that human capital development and career progression follow this structured pathway in which skills more aligned with the nested structure command higher wage premiums, require longer education and are less likely to be automated. These disparities are evident across genders and racial/ethnic groups, explaining long-term wage penalties. Finally, we find that this nested structure has become even more pronounced over the past two decades, indicating increased barriers to upward job mobility.

Social and biological collectives exchange information through internal networks to function. Less studied is the quantity and variety of information transmitted. We characterize the information flow into organizations, primarily business firms. We measure online reading using a large dataset of articles accessed by employees across millions of firms. We measure and relate quantitatively three aspects: reading volume, variety and firm size. We compare volume with size, showing that firm sizes grow sublinearly with reading volume. This is like an economy of scale in information consumption that exaggerates the classic Zipf’s law inequality for firm economics. We connect variety and volume to show that reading variety is limited. Firms above a threshold size read repetitively, consistent with the onset of a coordination problem between teams of employees in a simple model. Finally, we relate reading variety to size. The relationship is consistent with large firms that accumulate interests as they grow. We argue that this reflects structural constraints. Taking the scaling relations as a baseline, we show that excess reading is strongly correlated with returns and valuations. The results indicate how information consumption reflects internal structure, beyond individual employees, as is likewise important for collective information processing in other systems.

A growing body of research documents that the size and growth of an industry in a place depends on how much related activity is found there. This fact is commonly referred to as the "principle of relatedness". However, there is no consensus on why we observe the principle of relatedness, how best to determine which industries are related or how this empirical regularity can help inform local industrial policy. We perform a structured search over tens of thousands of specifications to identify robust -- in terms of out-of-sample predictions -- ways to determine how well industries fit the local economies of US cities. To do so, we use data that allow us to derive relatedness from observing which industries co-occur in the portfolios of establishments, firms, cities and countries. Different portfolios yield different relatedness matrices, each of which help predict the size and growth of local industries. However, our specification search not only identifies ways to improve the performance of such predictions, but also reveals new facts about the principle of relatedness and important trade-offs between predictive performance and interpretability of relatedness patterns. We use these insights to deepen our theoretical understanding of what underlies path-dependent development in cities and expand existing policy frameworks that rely on inter-industry relatedness analysis.