As transport and accommodation problems are increasing in many cities, some governments encourage businesses to move to rural areas. Do you think the advantages outweigh the disadvantages?

In some countries, overpopulation leads to some problems,
such
as transportation and accommodation issues. Some of the governments encourage companies to settle in suburban
areas
. I believe that moving
businesses
to rural
areas
has more advantages than disadvantages. Focusing on the downsides,
firstly
, the
government
should spend an extra amount of investment on the infrastructure in the rural
areas
,
such
as electricity, water, traffic network etc. which is the basic requirement to attract enterprises. As a consequence, the
government
may face an increase in the financial budget and
hence
may rise the taxpayers’ burdens.
Furthermore
, since the corporations move to a remote area for
businesses
, their employees might require to spend more time commuting.
This
may cause the company less attractive to capable staff and they would resign from their post.
Thus
, it would affect the productivity of the company. Other than the drawbacks mentioned above, there are several benefits that come from the new policy. At
first
, the overpopulation problem of the
city
is mitigated. When more
businesses
are moved to the outside
areas
of the main
city
, their employees and family may
also
move and live near the company.
Consequently
, the number of citizens will be decreased.
Moreover
, the running cost of the
businesses
may be reduced, especially the rental cost. Take Hong Kong as an example, the rental cost in Admiralty, the central of Hong Kong
city
, is 150% higher than that of Tung Mum.
Therefore
, the policy is beneficial to both the
government
and the enterprises involved. In conclusion, the
government
may face a short-term financial hardship and it may affect the companies’ attraction at the very beginning,
however
, the long term benefits of alleviation of overcrowding in the
city
and the financial advantages for the companies may outweigh the drawbacks.
Submitted by dfshum on

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