Urbanization -- rising densities of people and production in cities and towns is one of the most striking features of economic development. Incomes tend to rise with urban density, especially when accompanied by increases in the contribution of industry and services to economic activity and jobs. Over the past three decades, Vietnam has undergone an extensive urban transformation that has levered economic development. In 1986, Vietnam had fewer than 13 million urban residents; Vietnam now has 30 million urban residents, and urban areas now contribute over half of national GDP. In fact, the relationship between urbanization and income in Vietnam appears to be stronger than that of China and Korea at similar urbanization levels. Alongside rising economic density, Vietnam has also had an impressive record in keeping rural-urban and regional disparities in check through central transfers aimed at poorer areas that has allowed for expansion of basic services and infrastructure across the country. Even within cities, slums and urban segregation appear to be less of a challenge than in many other developing economies.