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REAL 4000 Chapter 5

AB
linkageshow land use types differ in their locational needs
Cities built defensivelySwamps (Moscow & London), Hills (Rome), Island (Paris)
City locations for tradeA. Shores of oceans & lakes B. River Mouths C. Points of Obstruction (river crossings, river obstructions, mountains (Denver))
Needs during the industrial revolutionRaw materials, power, skilled labor, suitable climate
Other reasons for city locationEducational facilities (Athens), Leadership/Political(D.C., Sprinfield, IL)
Economies of scaleIncrease in efficiency of production as the number of goods being produced increased. Typically, a company that achieves this lowers the average cost per unit through increased production since fixed costs are shared over an increased number of goods
Economies of agglomerationCost or productivity advantages from the clustering of firms or worksites near each other. Synergy across firms (access to ship, truck and employment) Efficiencies in production due to # of different local (large scale) industries
Economic BaseThe engine that drives a city's source of income.
City Growththe better the growth prospects for key industries located in a particular city, the better the prospects for economic growth
Basic Activitiesexport activities that are those that produce goods or services for those outside of the community. Will have a direct impact on the demand for various types of real estate assets and the demand for other types of goods and services in the community
Non-Basic activitiesPopulation serving activities that produce goods and services for use within the local community. Changes in these activities will have less of a spillover impact on the rest of the community
Multiplier EffectAn increase of 1000 manufacturing jobs can lead to a 2000 total job increase
LeakageThe amount of a city's money that is spent on imports
Location QuotientThe proportion of total local employment in a given industry divided by the proportion of the total national employment in the same industry. LQ = 4 means there are 4X as many jobs in x industry in x city than the national average
Supply side of urban growthlabor force characteristics, quality of life, leadership/local government, climate
Von Thunen (1826) Transportation Costs ModelCore: City Center. Veggies, wood, potatoes, cattle, hunting
Burgess (1920's) Concentric Circle ModelDowntown, industrial, transition, blue collar, white collar, executive
Axial GrowthDirection-of-least-resistance theory
Sector Growth (Homer Hoyt)Growth in sections and can be dependent on environmental factors such a wind, etc.
Technological Change in the 20th Century1. Urban Transportation Revolution 2. The Production Revolution 3. Advances for Offices and Retailing 4. Advances in data processing and communications
central place patternthe tendency for competitors to disperse over the region of potential customer units (households) to the point where each establishment is equidistant from any other, and they are separated by the minimum distance that allows sufficient customers to support each establishment
comparison activitiesClustering of stores where customers typically like to go from one competitor to another in the course of a single trip



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