Podcast
Questions and Answers
Which of the following best describes the relationship between land cost and transportation costs according to Von Thünen's model?
Which of the following best describes the relationship between land cost and transportation costs according to Von Thünen's model?
- Land cost increases and transportation costs decrease as distance from the market increases.
- Land cost decreases and transportation costs increase as distance from the market increases. (correct)
- Land cost increases and transportation costs increase as distance from the market increases.
- Land cost decreases and transportation costs decrease as distance from the market increases.
In Von Thünen's model, which agricultural product would most likely be located closest to the market center?
In Von Thünen's model, which agricultural product would most likely be located closest to the market center?
- Livestock
- Dairy (correct)
- Lumber
- Wheat
Which of the following is a limitation of the Von Thünen model's applicability in modern economies?
Which of the following is a limitation of the Von Thünen model's applicability in modern economies?
- The increasing irrelevance of transportation costs.
- The model's assumption of uniform soil fertility.
- Technological advancements in transportation and storage. (correct)
- The model's focus on agricultural activities.
Which of the following best describes a 'weight-losing' industry in Weber's Least Cost Theory?
Which of the following best describes a 'weight-losing' industry in Weber's Least Cost Theory?
According to Weber's Least Cost Theory, which of the following factors would most likely encourage a company to locate in a specific region?
According to Weber's Least Cost Theory, which of the following factors would most likely encourage a company to locate in a specific region?
Which of the following is the best example of agglomeration in industrial location?
Which of the following is the best example of agglomeration in industrial location?
Which type of industry is most likely to be considered a 'footloose' industry?
Which type of industry is most likely to be considered a 'footloose' industry?
Which of the following characteristics best describe the 'informal sector'?
Which of the following characteristics best describe the 'informal sector'?
Which of the following is an advantage of industrial agglomeration?
Which of the following is an advantage of industrial agglomeration?
What is a potential disadvantage of industrial agglomeration?
What is a potential disadvantage of industrial agglomeration?
Which factor is most critical for a weight-losing industry when determining its location?
Which factor is most critical for a weight-losing industry when determining its location?
Which of the following industry classifications involves extracting raw materials directly from the earth or sea?
Which of the following industry classifications involves extracting raw materials directly from the earth or sea?
Which of the following describes a product best suited for airplane transport?
Which of the following describes a product best suited for airplane transport?
Which of the following is a key factor that influences the cost of transportation?
Which of the following is a key factor that influences the cost of transportation?
In Rostow's Stages of Economic Growth, what is a characteristic of the 'Traditional Society' stage?
In Rostow's Stages of Economic Growth, what is a characteristic of the 'Traditional Society' stage?
According to Rostow's model, which of the following typically emerges during the 'Pre-conditions for Take Off' stage?
According to Rostow's model, which of the following typically emerges during the 'Pre-conditions for Take Off' stage?
Which criticism of Rostow's model suggests that its stages may be difficult to achieve due to external factors?
Which criticism of Rostow's model suggests that its stages may be difficult to achieve due to external factors?
Which transportation method is most suitable for transporting heavy primary or secondary goods over long distances?
Which transportation method is most suitable for transporting heavy primary or secondary goods over long distances?
Why are ships typically used for transporting goods that do not require urgent delivery?
Why are ships typically used for transporting goods that do not require urgent delivery?
What is a major disadvantage of using airplanes for transporting goods?
What is a major disadvantage of using airplanes for transporting goods?
Why did European metropoles seek control over colonies?
Why did European metropoles seek control over colonies?
What is the trade imbalance trap that satellites often face?
What is the trade imbalance trap that satellites often face?
Which sector expands rapidly in Rostow's 'High Mass Consumption' stage?
Which sector expands rapidly in Rostow's 'High Mass Consumption' stage?
Which of the following is a criticism of Rostow's model?
Which of the following is a criticism of Rostow's model?
According to Weber's Least Cost Theory, what is the primary goal of industrial location decisions?
According to Weber's Least Cost Theory, what is the primary goal of industrial location decisions?
What type of industry processes and manufactures primary products?
What type of industry processes and manufactures primary products?
Which of the following is an example of a tertiary industry?
Which of the following is an example of a tertiary industry?
What role do metropoles play in the dependency theory?
What role do metropoles play in the dependency theory?
According to Rostow's model, what leads to large-scale rural-urban migration during the 'Take-off' stage?
According to Rostow's model, what leads to large-scale rural-urban migration during the 'Take-off' stage?
A company is deciding where to locate a factory. Which of these human factors would be most important to consider?
A company is deciding where to locate a factory. Which of these human factors would be most important to consider?
What is meant by the term 'satellites' in the context of Development, Dependency, and Trade?
What is meant by the term 'satellites' in the context of Development, Dependency, and Trade?
Which of the following could modify Von Thünen's model?
Which of the following could modify Von Thünen's model?
What is the main concept behind the Bid Rent theory?
What is the main concept behind the Bid Rent theory?
What is a typical characteristic of a Heavy Industry?
What is a typical characteristic of a Heavy Industry?
What is a significant disadvantage of industries clustering together (industrial agglomeration)?
What is a significant disadvantage of industries clustering together (industrial agglomeration)?
Which of the following scenarios best illustrates Weber's weight-gaining case in the Least Cost Industrial Location Model?
Which of the following scenarios best illustrates Weber's weight-gaining case in the Least Cost Industrial Location Model?
What is most likely to be transported by ships?
What is most likely to be transported by ships?
Which of the following industries is classified as quaternary?
Which of the following industries is classified as quaternary?
What is Rostow's model primarily based upon?
What is Rostow's model primarily based upon?
Flashcards
Market Gardening and Milk Production
Market Gardening and Milk Production
Farming focused on vegetables, dairy, and fruit, requiring quick market access.
Firewood and Lumber Production
Firewood and Lumber Production
Production of wood for fuel and construction; heavy and difficult to transport.
Crop Farming (with/without fallow) / Three-Field System
Crop Farming (with/without fallow) / Three-Field System
Grain farming, lighter than fuel, with longer-lasting products, sometimes using a crop rotation.
Livestock Farming
Livestock Farming
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Von Thũnen Theory
Von Thũnen Theory
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Transport Cost
Transport Cost
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Crop worth based von Thunen
Crop worth based von Thunen
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Von Thũnen Model Weaknesses
Von Thũnen Model Weaknesses
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Land cost near cities
Land cost near cities
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Bid-Rent Theory
Bid-Rent Theory
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Weber’s Least Cost Industrial Location Model
Weber’s Least Cost Industrial Location Model
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Transportation Costs (Weber)
Transportation Costs (Weber)
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Agglomeration
Agglomeration
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Weight-Losing Case (Weber)
Weight-Losing Case (Weber)
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Weight-Gaining Case (Weber)
Weight-Gaining Case (Weber)
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Primary Industry
Primary Industry
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Secondary Industry
Secondary Industry
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Tertiary Industry
Tertiary Industry
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Quaternary Industry
Quaternary Industry
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Heavy Industry
Heavy Industry
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Light Industry
Light Industry
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Fixed Industry
Fixed Industry
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Footloose Industry
Footloose Industry
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Formal Industry/Sector
Formal Industry/Sector
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Informal Industry/Sector
Informal Industry/Sector
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Advantages of Industrial Agglomeration
Advantages of Industrial Agglomeration
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Disadvantages of Industrial Agglomeration
Disadvantages of Industrial Agglomeration
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Physical Factors in Industrial Location
Physical Factors in Industrial Location
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Human Factors in Industrial Location
Human Factors in Industrial Location
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Economic Factors in Industrial Location
Economic Factors in Industrial Location
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Metropoles
Metropoles
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Satellites
Satellites
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Trade Imbalance Trap
Trade Imbalance Trap
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The Rostow Model
The Rostow Model
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Traditional Society (Rostow)
Traditional Society (Rostow)
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Pre-conditions for Take Off (Rostow)
Pre-conditions for Take Off (Rostow)
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Take off
Take off
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The Drive to Maturity (Rostow)
The Drive to Maturity (Rostow)
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High Mass Consumption (Rostow)
High Mass Consumption (Rostow)
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Trains for Transport
Trains for Transport
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Ships for Transport
Ships for Transport
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Airplanes for Transport
Airplanes for Transport
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Trucks for Transport
Trucks for Transport
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Study Notes
- Market gardening and milk production necessitate quick market access due to the perishability of vegetables, dairy, and fruit.
- Firewood and lumber production are essential for fuel, but their weight and transportation difficulties pose challenges.
- Crop farming, especially with grains using systems like the Three-Field System, benefits from grains being lighter than fuel with longer shelf life.
- Livestock farming involves animals transporting themselves to market for slaughter.
Von Thünen Theory
- Farmers aim to maximize profits based on land use and transport costs.
- Transport cost is dependent on distance, product bulk, and perishability.
- Cultivation is only worthwhile within certain distances from the city
- Beyond that cost of land gets too high, or transport costs increase, or there is a more profitable product.
Weaknesses and Criticism of the Model
- The model assumes an isolated state.
- It disregards differences in local physical conditions, differential transportation costs, variations in topography, soil fertility, changes in demand or price, and government policies.
- Modern refrigerators allow perishable products to be transported longer distances.
- The theory remains relevant by illustrating the balance between land cost and transportation costs.
Bid Rent Theory
- Land is scarce so rent is more expensive in an urban area.
- The closer one is to the city, the more expensive it is to be there.
Weber's Least Cost Industrial Location Model
- Industries locate to minimize costs in transportation, labor, and agglomeration.
- Minimizing costs in three categories: Transportation, Labour, and Agglomeration
Least Cost Theory
- Weight-losing industries locate near raw materials to minimize transportation costs.
- Weight-gaining industries locate closer to the market to reduce costs.
Industry Classifications
- Primary industries extract raw materials: farming, fishing, forestry, mining.
- Secondary industries process and manufacture primary products: steel, shipbuilding, furniture making, and construction.
- Tertiary industries provide services: health, education, government, retailing, and transport.
- Quaternary industries provide information and expertise: micro-electronics and R&D.
Types of Industry
- Heavy industries use heavy, bulky raw products and produce heavy, bulky goods.
- Light industries use light, small raw materials with light, small finished products.
- Fixed industries have limited location choices due to reliance on heavy raw materials.
- Footloose industries can locate in many places due to light, easily transported raw materials.
Sector Classifications
- Formal industries are capital intensive, use advanced technology, and employ workers regularly.
- Informal industries are labor intensive, use simple technology, and involve self-employment or casual employment.
Industrial Agglomeration: Advantages and Disadvantages
- Advantages include shared resources, labor pool, innovation/knowledge sharing, lower transaction costs, and consumer attraction.
- Disadvantages include high resource demand, pollution, labor shortages/wage inflation, industry-specific crises, and scarcity of space.
Factors Involved in Deciding Industrial Location
- Physical factors such as proximity to raw materials, climate, availability of resources, and suitable land are crucial.
- Human factors include the availability of skilled labor, labor costs, living standards, and political stability.
- Economic factors are proximity to markets, land costs, access to finance, government policies, and the overall economic environment.
Development, Dependency, and Trade
- Rich industrialized countries are metropoles; poor, less industrialized countries are satellites.
- During the 1960s and 1970s most colonies won political independence but are still, even today, dependent on the metropoles.
- Metropoles control the economies of satellites, creating a trade imbalance.
The Rostow Model - The Stages of Economic Growth
- Rostow's model suggests countries develop through five linear stages.
- Traditional Society: Subsistence farming, limited technology, and barter trade.
- Pre-conditions for Take Off: Emergence of surpluses, transport infrastructure, commercialized agriculture, and entrepreneurship.
- Take off: Increased industrialization, rural-urban migration, and new political/social institutions.
- The Drive to Maturity: Diversified growth, technological innovation, and economic development spreads.
- High Mass Consumption: Expansion of tertiary industry and production of durable consumer goods.
The Rostow Model - Criticisms
- Outdated (1960) and oversimplified
- Model assumes same starting level and resources for all countries.
- The model underestimates the extent to which the development of some countries in the past was at the expense of others through colonization and imperialism.
Transportation
- Trains: Suitable for long-distance transport of heavy primary/secondary goods.
- Ships: Ships give transportation for goods without strict time limits.
- Airplane: For high-value or urgent goods despite small cargo capacity.
- Truck: For finished products being transported easily to market over short distances.
- Transportation costs vary by country, distance, goods, speed, capacity, and accessibility.
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