The Role of Urban Financial Centers within the Economy of Global Cities

• Main Authors: Oana Mionel, Viorel Mionel, Cristina Mihăescu
• Format: Article
• Language: English
• Published: Danubius University 2014-06-01
• Series: Acta Universitatis Danubius: Oeconomica
• Subjects: urban economy; international financial centers; world cities
• Online Access: http://journals.univ-danubius.ro/index.php/oeconomica/article/view/2383/2136

Nowadays, there is no doubt that state economy refers to city economy. In other words, the most part of a state‘s GDP is given by the urban environment, especially by capitals, which are often the economic engine of this environment. There are also cities having great economic importance abroad, beyond the state and even continental borders. These are the so-called global cities where the financial activities play an important role. There are a few cities (New York, London, Hong Kong etc.) centering financial activities which are influential for large geographic areas. This research highlights the importance of the financial sector within urban economy and, subsequently, how it consolidates the status of global city. These cities are the engine of the international financial system as they host the headquarters of the most important and famous international stock exchange markets, financial supervision institutions, law firms and consulting companies.