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Paul Graham had an essay once where he suggested the critical element was a university:

http://paulgraham.com/siliconvalley.html

Build a top-notch research university and convince a dozen of the smartest professors and a few independently-wealthy angel investors to move there, and you'll soon have a city. Because where top professors go, students will go. Where you have smart & ambitious students and adventurous money, you'll have startups. Where you have startups, you'll get jobs. And where you get jobs, you'll get cities.




He's saying a university is a key step for a tech hub, not for every city.


But it could probably apply to other cities. I've read that Bordeaux was somewhat transformed via university. Other lively and attractive towns are often considered college/uni towns.

They attract nightlife and breakfast spots. And businesses that support those (accountants, cleaners, etc). I think interesting and lively socialising/dining would be a key consideration for me if I were to move to a smaller city.




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