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Spread effects in economic geography refer to the benefits that peripheral or less developed regions can experience as a result of economic growth and development in nearby core or more developed regions. When a core region undergoes significant economic development, it can lead to increased investment, job creation, and infrastructure improvements that extend into adjacent peripheral areas. This phenomenon encourages economic activity in these less developed regions, potentially increasing their prosperity over time.

For example, if a major city experiences significant industrial growth, it may lead to improved transportation links, attracting businesses to peripheral areas and creating employment opportunities for local residents. As these benefits trickle down, they can help stimulate local economies, improve living standards, and foster development in regions that might otherwise remain stagnant.

Other options do not accurately represent the concept of spread effects. Costs incurred by peripheral regions are not a description of benefits from core regions. While urbanization can have negative impacts, it does not define the specific phenomenon of spread effects. Lastly, while globalization influences local economies, spread effects specifically relate to the interaction between core and peripheral regions rather than the broader impacts of globalization.