ECONOMICS
ECONOMIC DEVELOPMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Rostow’s Model of Economic Development
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Wallerstein’s World Systems Theory
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Weber’s Least Cost Theory
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Location Theory
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Detailed explanation-1: -Here are a few examples of how the Von Thunen model can be used to understand the spatial organization of agriculture: A farmer who grows high-value crops, such as vegetables or fruit, may choose to locate their farm closer to the market in order to take advantage of the higher prices and lower transportation costs.
Detailed explanation-2: -Von Thünen’s model helps explain the relationship between the cost of land and the cost to transport the crop to market. Using all the data he collected, von Thünen began to write about the spatial structure of agriculture.
Detailed explanation-3: -Location theory also enables competitive services to be evaluated and explored, prior to siting the business or outlet. As an example, how will a market for a particular good respond if a new business is located in a particular place, and what will be the response of competitors.
Detailed explanation-4: -Weber’s theory, called the location triangle, sought the optimum location for the production of a good based on the fixed locations of the market and two raw material sources, which geographically form a triangle.