More than ever, the traditional “bricks-and-mortar” drivers of economic growth are giving way to an economy based on “brains and creativity.” Competitive differentiation today is more likely to be based on the ability of the workforce to create and absorb skills and innovation than on traditional drivers such as available natural resources, physical labor or manufacturing prowess. As a result, the skills, aptitude, knowledge, creativity and innovation of a workforce – which collectively can be viewed as the talent pool in the economy – have become increasingly important drivers of economic growth and activity.
Cities, as hubs of the global economy, are the focal points for this transformation. In the immediate future, three interconnected factors will place even more emphasis on the role of cities in talent-based economic development:
