agglomeration economy
nounDefinition of agglomeration economy
: a localized economy in which a large number of companies, services, and industries exist in close proximity to one another and benefit from the cost reductions and gains in efficiency that result from this proximity
The existence of agglomeration economies can imply different things for local and national policymakers.— Edward L. Glaeser, Agglomeration Economics, 2010
Keep scrolling for more