What is the term used for a locale with a significant agglomeration of people that exhibits urban characteristics?

The term that best describes a locale with a significant agglomeration of people exhibiting urban characteristics is "Metropolitan Area." A metropolitan area encompasses a densely populated urban core and its less populated surrounding territories, sharing economic and social ties. This term reflects the complexity and interconnectedness of urban areas, which can include multiple cities and towns that function as a single economic unit.

In contrast, a city typically refers to a large human settlement, but the term does not capture the broader suburban and rural areas that might be economically and socially tied to it. While towns and villages are smaller settlements with fewer urban characteristics and lower populations, they do not engage with the broader context of economic and social dynamics present in metropolitan areas. Thus, the most accurate term associated with a significant agglomeration of people in an urban context is "Metropolitan Area."