In big number of countries around the globe, people moving from villages to the city, so the population in rural areas is decreasing.
To begin with, this practice is a common for big cities, where style of live is a different, and in usual have nothing in common with experience of living in countryside. I think that is good when people arrive to the cities from the countryside. Often, by new people arrive in the megapolis or just big city, they are doing this because of comfort and developed infrastructure. In big cities it is easier to find especially job what you want, because of number of opportunities. I have one friend, who grew up in the village, but soon as he finished school, he immediately moved to the city. Where he chose a university that was not in his village. Later, he got a job of his dreams, which he would not have to found in his underdeveloped village.
Reason why is good for the economy, because it is a new workforce, for the government it is convenient to have more workers on the manufactures. Each year city grows, cities have more opportunities in career, here you can find an incredible number of possibilities to make a business. When city is growing, trough decades, it can absorb new districts and turn them into part of the main city.
To summarize, when people came into city, it is good for the government, to increase level of population in the city. It also has an effect the productivity of the city and the growth of its economy.