Central Place Theory Quiz

Introduction to Spatial Dimensions of Development

• Spatial originates from the word "space".
• To geographers, "space" implies the distribution of things, the movement of people and processes, and the entire or part of the earth.
• A geographer's "space" is earth space, which is the surface area occupied or available to be occupied by humans.

Why is space important to the geographer?

• Geography is a spatial science.
• It analyzes the spatial behavior of people.
• It explores spatial relationships observed between places on Earth's surface.
• It investigates spatial processes that create or maintain behaviors and relationships.
• Location, direction, and distance are crucial in understanding spatial interaction.

Location

• Absolute location pinpoints a place using coordinates (latitude and longitude).
• Examples of absolute location include survey systems (townships, ranges, and sections) and street addresses.
• Relative location describes a place's position in relation to other places or activities.
• Relative location expresses spatial interconnection and interdependence.
• Site refers to the actual location of a settlement (internal factors) and includes specific physical characteristics of the landscape.
• Situation describes the location of a place relative to its surroundings and other places (external factors), highlighting accessibility and connections with other areas.

Direction

• Absolute direction uses cardinal points (North, South, East, West).
• These are derived from natural observations.
• Relative or relational direction varies culturally and locationally, despite reference to cardinal compass points.

Distance

• Absolute distance measures spatial separation using units like miles or kilometers (for widely separated locales) or feet/meters (for smaller distances).
• Relative distance considers travel time or other meaningful units for analyzing spatial relationships in the context of the question.
• Psychological perception of distance plays a role in how we view distances.

Location Theories

• Development economists and policy makers are sometimes criticized for overlooking spatial considerations in policymaking.
• Past economic theories, like those of Adam Smith, Ricardo, and Marshall, frequently disregarded space.
• 1958 Walter Isard's work, "Location and Space Economy," highlighted the importance of understanding space in economic theory and development.
• Different fields like regional science, spatial behavior, human geography, spatial economic analysis, and transportation/trade consider spatial dimensions of development.

Central Place Theory

• Walter Christaller developed central place theory, outlining patterns, size, and numbers of towns/cities.
• The theory aims to explain reasons behind the distribution of towns and cities based on their economic relationships with surrounding areas.
• Christaller's theory relies on assumptions such as uniform distribution of population, similar tastes for goods, uniform transportation costs in all directions, and the existence, and no impediments to movement across the surface.

Central Place Theory: Assumptions

• The theory assumes an unbounded, isotropic (flat) surface.
• There are no barriers to movement. Consumers are uniformly distributed.
• Population density and consumer characteristics are homogenous. Transportation rate is uniform. Prices are F.O.B.
• Perfect competition exists among suppliers. One type of transport is assumed.

Central Place Theory: Threshold and Range

• Threshold signifies the minimum market size (population or revenue) needed to ensure the profitability of a business and the sale of a particular good or service.
• Range shows the maximum travel distance consumers are willing to cover to procure a good or service.

Central Place Theory: Low-Order and High-Order Goods

• Low-order goods are purchased frequently (e.g., groceries). High-order goods are bought less often (e.g., cars).
• Businesses selling low-order goods can thrive in smaller towns due to frequent purchases.
• High-order goods require large markets (larger cities) due to less frequent purchases.

Central Place Theory: Size and Spacing

• Central place systems have five community sizes: Hamlet, Village, Town, City, and Regional Capital.
• The theory assumes the central place is located at the vertices of equilateral triangles and serves evenly distributed consumers closest to it. Hexagonal market areas form with the central place at the center.

Central Place Theory: Order Principles

• The marketing principle (K=3) indicates market areas at a particular level of the hierarchy are three times larger than those at the next lower level.
• The transportation principle (K=4) shows that higher-level market areas are four times larger than lower areas.
• The administrative principle (K=7) shows how sizes vary between the highest and lowest levels, implying full coverage by the highest level area.

Central Place Theory: Criticisms

• Predicted city patterns may deviate due to varying production costs.
• Transportation costs are often unequal.
• Distribution patterns of rural markets are not uniform.
• Socioeconomic and other non-economic factors impacting distribution patterns haven't been thoroughly considered.
• Competition and "imperfect competition" can impact freight absorption.

Losch’s Central Place Theory

• August Losch modified Christaller’s theory, questioning its rigidity as profit maximizing considerations were overlooked.
• Losch’s theory emphasized maximizing consumer welfare and minimizing travel for goods.

Growth Pole Concept

• Francois Perroux introduced the growth pole concept in 1955.
• Growth is uneven, concentrated around specific "growth poles" (often key industries or cities).
• These poles have direct and indirect effects on economic development in related industries, boosting output, employment, investments, and innovation within the region.
• The economies of scale in large cities provide high returns, thus supporting industrial infrastructure and growth diversification.

Growth Pole Concept: Assumptions

• Growth poles expand to have economic relations with the capital city and elsewhere.
• Manufactured goods flow from the capital city to the growth pole.
• Growth poles use a free market approach to create ripple effects throughout the region.
• Investments in industrial growth in growth poles will result in economic benefits to both agriculture and commercial sectors.

Growth Pole Concept: Criticisms

• In certain instances, the selected cities didn't experience the anticipated growth, so the trickle-down effect was often not strong enough to boost regional development.
• The concept didn't account for differences in natural versus constructed growth poles, as well as outside influence and limited initial investments in new growth centers.

Von Thunen Model

• Johann Heinrich von Thunen created a model to explain agricultural land use patterns by comparing production costs, market prices, and transportation costs.
• The model considers various agricultural zones based on the distance from the market (central city).
• This allows for variations in farm product prices and how this influences agricultural land use.

Von Thunen Model: Assumptions

• The city and surrounding agricultural land form an "isolated state," unaffected by external factors.
• The land is completely flat without any natural barriers (rivers, mountains).
• Soil quality and climate are uniform.
• Transportation costs depend solely on distance from the market (central city).
• Farmers aim to maximize profit.

Von Thunen Model: Rings

• Ring 1—Intensive farming/dairy is closest to the city to minimize transportation costs.
• Ring 2—Forest resources (firewood, timbers) follow as these materials are heavy.
• Ring 3—Extensive field crops are located farther from the city and have a lower transport cost.
• Ring 4—Livestock ranching is farthest from the central market; animals can be self-moved (thus requiring less transportation cost).
• Ring 5—Unoccupied land, too distant for any agricultural product.

Von Thunen Model: Mathematical Analysis

• Rent per unit of land is a function of production/operating costs plus transport costs.
• A farmer is on the economic margin if the costs of production plus transportation are equal to the value of the item at market.
• The model emphasizes maximising profit (market price less production/transport costs). The highest transport cost areas are closest to the city.

Von Thunen Model: Weaknesses and Criticisms

• The model views an isolated state, ignoring the impact of diverse land or external conditions.
• The model doesn't account for transportation cost differences (e.g., water); technological advancements, such as refrigeration, and transportation methods (rail).

Core-Periphery Theory

• John Friedmann developed the core-periphery theory in 1963.
• The theory focuses on economic wealth disparities and regional contrasts within countries.
• Correlates this with wealth and growth in the heartland of a country, alongside economic exploitation/deprivation of those further from the center.

Core-Periphery Theory: International Significance

• Development of affluent core areas is often at the expense of less developed and exploited peripheral areas.
• The theory can be interpreted as showing the developed countries gaining in economic or political power over the developing countries.
• Wealthy countries retain significant control and influence over the developing world.

Core-Periphery Theory: Regional Variations

• Regional disparities in wealth, development, and growth exist globally.
• Developing countries often have more pronounced regional disparities than developed countries.
• Examples such as Brazil's income distribution demonstrate this disparity as the poorest countries are not proportionally involved in the growth experienced by the country as a whole.

Core-Periphery Theory: Expansion and Trickle-Down Effects

• Core areas may initially expand to geographically similar areas before moving into dissimilar ones as resources are exhausted in the periphery.
• A "trickle-down" effect is assumed in that core regions' benefits diffuse outward into peripheral areas, ultimately leading to income equality across regions.

Core-Periphery Theory: Four-Stage Sequence

• Felmann et al. (1999) suggest a four-stage sequence describing space-economy.
• Stage 1: Pre-industrial society includes localized and self-sufficient economies.
• Stage 2: Core-Periphery stage
• Stage 3: Economic activity dispersal and control transfer into periphery areas.
• Stage 4: Spatial integration occurs as separate components interdependently work together.

Core-Periphery Theory: The Semi-Periphery

• The semi-periphery exists as a middle ground between core and periphery areas, and frequently bridge the gap between the most developed core countries and the poorer peripheral nations, thus contributing to a degree of political and economic balance.