b) Wikipedia defines traffic congestion as the condition of road networks that occurs when usage increases and is characterized by slower speed, longer travel times long and an increase in vehicle queues. Congestion occurs when the demand for transportation exceeds the supply of transportation in a particular part of the transportation system. Congestion is considered bad for the economy as it negatively impacts routine business activities in cities like Windhoek. Traffic jams are common in the morning when everyone is heading to school, and work, they are also popular at night when people have left the house and are returning home. Traffic jams impose costs on businesses beyond just delay costs for vehicles and drivers. including potential effects on inventory costs, logistics costs, reliability costs, just-in-time processing costs, and reductions in market areas for workers, customers, and inbound/outbound deliveries (NCHRP REPORT 463, 2010, p.10). Congestion is responsible for the additional costs incurred by the company; this could be the cost of wasted gasoline by standing still in traffic or moving at a slow pace, a driver could also take a longer route to avoid full roads, but this results in increased logistics costs as these routes were not initially planned. when plans for delivery of goods have been developed. The additional costs incurred by the company are a serious problem because the company is using scarce resources that it has not budgeted for or resources that could have been used elsewhere to generate more profit for the company. Congestion also results in the late arrival of products and materials intended to be used in the company for production. If the goods are delivered late, the demand is likely to decrease gradually...... middle of paper ......port due to congestion, the problem of congestion is also a problem which needs to be addressed by putting in place several policies and control mechanisms such as royalties which all require government funds which could have been used to help society in another way which could be more beneficial. Congestion not only has a negative impact on the economy, but it also has social consequences for road users, such as accidents and social consequences. It is therefore necessary to implement policies that can reduce congestion, such as congestion charges. Although the impact of congestion is barely recognized by many in society and businesses do not record the losses incurred through congestion, they are serious and lead to huge financial difficulties if not addressed. not taken into account and a reduction in workforce performance. It is therefore necessary to fight against congestion, as it has a negative impact on economies..