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?

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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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