Decentralizing Industry Boosts Productivity in Indonesia's Regions
This research looked at how industries clustering together in certain areas can affect how productive workers are in Indonesia. They studied data from 44 cities over five years and found that when manufacturing industries group closely together, it usually helps workers do better. But if too many workers are in one place, it can actually make them less productive. The findings suggest that it might be a good idea for the government to support industrial growth in less crowded places in Indonesia by improving things like electricity and roads, which could attract more investment and create more job opportunities.