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  2. Types of agglomeration include123:
    • Localization economies: Benefits from clustering similar firms due to geographic advantages.
    • Urbanization economies: Benefits from the agglomeration of population, including common infrastructures, labor availability, and market size.
    • Industrialization economies: Benefits from clustering industrial activities, such as suppliers or customers.
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    It has several varieties like localization economies, urbanization economies, knowledge spillovers, labor market pooling, input sharing, specialization, and diversity.

    www.wallstreetmojo.com/agglomeration-economies/

    There are three major categories of agglomeration economies:

      transportgeography.org/contents/chapter2/transpor…
      Agglomeration of firms in particular regions is driven by several factors that can be explained by localization —the clustering of similar firms because of geographic advantages, such as access to inputs—and urbanization —the clustering of firms in different industries due to the advantages the cities themselves provide.
      www.incontext.indiana.edu/2020/mar-apr/article1.asp
       
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      Economies of agglomeration - Wikipedia

      Two types of economies are considered large-scale and have external economies of scale: localization and urbanization economies. Localization economies arise from many firms in the same industry located close to each other. There are three sources of localization economies: The first is the benefit of labor … See more

      One of the major subfields of urban economics, economies of agglomeration (or agglomeration effects), explains, in broad terms, how urban agglomeration occurs in locations where cost savings can naturally arise. This … See more

      When firms form clusters of economic activity, particular development strategies flow into and throughout this area of economic activity. … See more

      While localization and urbanization economies and their sources are crucial to sustaining agglomeration economies and cities, it is important to understand the long-term result of the function of agglomeration economies, which relates to the See more

      • Brueckner, Jan. "Lectures in Urban Economics." 2011. The MIT Press
      • O'Flaherty, Brendan. City Economics. Cambridge, Massachusetts; London, England. 2005. … See more

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      While the existence of cities can only persist if the advantages outweigh the disadvantages, poorly planned agglomerations may … See more

      From the localization of firms, labor market pooling emerges. Large populations of skilled laborers enter the area and can exchange knowledge, ideas, and information. The … See more

       
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