Question

Bid-rent curves a. determine the most appropriate land use for any given area. b. determine the most profitable land use on a region-by-region basis. c. illustrate the constant tension between externalities and economies of scale. d. illustrate how low-density land uses gravitate the periphery of heavily populated areas.

Answer 1

Bid-rent curves are used to depict hypothetical maximum land values based on distance from a central point, related to the von Thünen model. They are used in geography to understand land use patterns, including the geographic distribution of primary activities like agriculture and the influence of urban growth policies.

Step-by-step explanation:

The question is about bid-rent curves, which are a concept in geography that illustrates the potential rent that could be paid for particular land uses in various locations. They do not necessarily determine the most appropriate land use for any given area; instead, they depict hypothetical maximum land values over distance from a central point, assuming a uniform plain, no transport costs for goods to market, and attempting to maximize agricultural profits.

The von Thünen model, formulated by the 19th-century German economist Johann von Thünen, assumes that all farmland is of equal quality and that there is only one market city without any transport advantage. This model helps to understand the distribution of primary activities based on factors like production costs and transportation costs, with more perishable and expensive-to-transport goods being closer to the market and less perishable ones further away.

Bid-rent theories can also incorporate sociological perspectives, such as those by Feagin and Parker, who discuss the control of urban growth by political and economic leaders. This includes the interplay of structure and agency, and how societal movements, like NIMBY (Not In My Back Yard), can influence land use.

Answer 2

The correct answer is D. Bid-rent curves illustrate how low-density land uses gravitate the periphery of heavily populated areas.

Step-by-step explanation:

The Bid-Rent Theory is a spatial model of the city developed in 1964 by the American economist William Alonso based on the Tunen model, adapted to the urban land market by analogy with rural land, where the city is seen as the central business district around which workers settle, and there is competition for land between its various uses: offices, shops and housing. Firms and households have their own rental rate function - the willingness to pay for location relative to the city center.

According to this theory, the preferences of firms and households are determined by the rental rate function, which shows the willingness to pay for location relative to the city center.

Initially, the houses and buildings of the poor are located on the very outskirts of the city, as this is the only place they can afford, while low-income families can sacrifice more living space in order to expand access to employment.