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A major disadvantage of localization of industry is

...

A major disadvantage of localization of industry is

A.

The risk of structural unemployment

B.

Over-utilization of installed industrial capacity

C.

The risk of seasonal unemployment

D.

Under-utilization of installed industrial capacity

Correct answer is D

Localisation of industries in a particular locality creates many social problems such as congestion, emergence of slums, accidents, strikes etc. These adversely affect the efficiency of labour and the productive ability of the industry.