The paper is concerned with several phenomena which characterize contemporary post-industrial and urbanized societies and their geographical structures. Functions of capital cities are based on creative non-routine communication and clustering of talented people.
Capital cities provide an attractive environment for face-to face contacts. The hypermodern transactional way of life of post-industrial society and its economic system appears to be also sustained by the advantages of agglomeration.
Proximity to a common pool of highly diversified localised resources and infrastructure reduces risks and uncertainties. The post-communist capital cities have tended to gain a distinct economic advantage in competing for talented, highly skilled and creative human capital capable of sustaining the expansion of transactional activities in the quaternary sector.