City Clustering Boosts Jobs and Business, But Watch Out for Downsides!
Cities and regions with lots of businesses and people are good for everyone. Businesses can find workers and customers easily, while people can find jobs. This happens because firms like to be where there are many other firms. This is called agglomeration. It happens because of things like resources, market size, and cost savings. When firms are close together, they save money. But too many firms in one place can cause problems like high rent and pollution. The researchers in this paper looked at how industries are spread out in regions with cities. They found that most people live and work in the same area, which helps businesses and people work together better.