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While Defining the Concepts Clearly,discuss Agglomeration Effects and External Economies

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Essay

While defining the concepts clearly,discuss agglomeration effects and external economies.Explain the three main ways in which external economies can be derived.


Definitions:

Solar Panels

Photovoltaic (PV) devices or arrays that convert sunlight directly into electricity.

Efficiency

The ability to achieve a desired result or output with the least waste of time, effort, or resources.

Equity

Fairness.

Zero-Profit Equilibrium

A situation in a competitive market where each firm earns exactly what it spends, leaving no net profit.

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