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Spillover effects are externalities of economic activity or processes upon those who are not directly involved in it. Odours from a rendering plant are negative spillover effects upon its neighbours; the beauty of a homeowner's flower garden is a positive spillover effect upon neighbours.

In the same way, the economic benefits of increased trade are the spillover effects anticipated in the formation of multilateral alliances of many of the regional nation states: e.g. SARC (South Asian Regional Cooperation), ASEAN (Association of South East Asian Nations)

In reference to psychology, the spillover effect is when other people's emotions affect the emotions of those around them. For example if one is happy, other people's emotions alter as well. An effect of one person on another is also referred to as crossover effect (see also: partner effects).

In the context of work-life balance, spillover refers to positive or negative effects of an individual´s working life on their personal life or family life and vice versa. Examples are work-family enrichment and work-family conflict.




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