What's the current methodology for clustering geospatial data by features? Not in ArcGIS - rolling my own in a different framework.

Example: I have some demographic dataset. Let's say this contains average home price and population density.

So, an example correlation here would be home price vs population density. But, the trick is how the clustering gets pulled. For example, an affluent area with high population density isn't the same as one with low population density. Applying a basic distance metric wouldn't take this into account since low vs highs could offset each other giving similar distances. Cosine distance measures how they trend together. Similar problem. This leads me to possibly some form of weighted clustering to pull centroids.

Not sure what methodology takes this into account.

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