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How to revive US productivity

The McKinsey Podcast

CHAPTER

The Impact of Agglomeration on Productivity Growth in California

The benefits of agglomeration don't just accrue to tech firms, but also the different sectors within cities. California is not a tech story because there's actually multiple sectors that are doing quite well. But it is true to say that if you look at a city like San Jose or San Francisco, the story of technology and the story of agglomership effects is very significant in driving the productivity growth they've seen.

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