Agglomeration Diseconomies refer to the negative effects that can occur when businesses and industries cluster together in a specific geographic area. These effects can include increased competition for resources, higher costs of living and doing business, traffic congestion, and environmental degradation. Agglomeration Diseconomies can lead to decreased productivity and efficiency for businesses and can have a detrimental impact on the overall economic performance of a region.
Agglomeration diseconomies refer to the negative effects that can arise from the concentration of economic activity in a particular area. These effects can include increased traffic congestion, higher pollution levels, and higher costs of living. Agglomeration diseconomies can also lead to decreased productivity and efficiency as a result of overcrowding and competition for resources. In some cases, government intervention may be necessary to mitigate these negative effects and promote more sustainable and equitable development.
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This glossary post was last updated: 29th March 2024.
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