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If so, overpopulation* would be a bigger issue because that one area would be densely packed with people.

*=overpopulation: when an area's population becomes too large
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Hm, at first there would be the problem of overpopulation, and lack of needs, and crime, and then there would probably be a bunch of murder and probably a few random people who try to save half of the people by killing the other half, in a different way of doubling resources, and then there would be some smart people to just go "Wait... if it's too crowded here, couldn't we just go over here-"
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Well, that would be a problem. There might not be enough water for everyone, and overpopulation (When in an area, the population is more than the capacity.) would be more of a problem. And there would be crime everywhere.



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