Why people and firms are not evenly distributed around the world? Why do they not use land equally and why are firms and people are not equally spaced? Why are they concentrated in special areas although there is no geographical or structural difference? Reality shows a different picture to an equally distributed use of land and space: There is concentration of people and firms at special places or areas. The existence of cities is one of the questions that are interesting in an ex-post point of view as well as in future perspectives. The question is why cities exist and why are they different in size or in other words where do they locate and why as well as how do they develop. Therefore it makes sense to analyse the rationale for the existence of cities in terms of their determinants. There are dimensions that we should have a closer look at such as the localisation of cities, their growth and their different sizes. Firstly, different definitions of cities are mentioned. Afterwards the reasons for agglomeration forces through economies of scale that result in cities are described. Further its limits are analysed that bound the growth of cities. For explaining the different arrangement as well as the different sizes of cities the central place approaches of Christaller and Lösch are mentioned. Finally the empirical based rank-rule gives additional explanation for different sized cities.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Reason for Cities
- Theory
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
The text aims to explore the factors that contribute to the formation and varied sizes of cities. It examines the rationale behind spatial concentration of economic activity and human population, analyzing the influence of agglomeration forces and the role of economies of scale in urban development.
- Agglomeration forces and economies of scale
- The influence of transport costs on urban development
- The impact of market size and range of goods on city size
- The spatial distribution of cities and their hierarchy
- Central place theory and the rank-size rule
Zusammenfassung der Kapitel (Chapter Summaries)
Introduction
The introductory chapter presents the central question of the text: why cities exist and why they vary in size. It explores the concept of agglomeration, where economic activity and population concentrate in specific areas, despite a lack of geographical or structural differences. The chapter also outlines the key topics to be discussed, including the definition of cities, agglomeration forces, and the influence of economies of scale.
Reason for Cities
This chapter delves into the reasons behind the existence of cities. It defines a city as a settlement with a significant population and a diversified economy, distinct from agricultural communities. The concept of agglomeration forces is further explored, highlighting the role of specialized labor, local non-traded inputs, and information spillovers in attracting firms and people to specific locations. The chapter also discusses the limitations of agglomeration, such as congestion costs and diminishing returns.
Theory
This chapter explores various theories that explain the differences in city sizes and industrial location. It focuses on the central place theory, developed by Christaller and Lösch, which posits that a hierarchy of goods and services influences the size and distribution of cities. The chapter highlights the role of market areas, transport costs, and the price elasticity of demand in determining the size and location of urban centers.
Schlüsselwörter (Keywords)
The text focuses on the spatial economy, exploring concepts such as agglomeration forces, economies of scale, transport costs, central place theory, rank-size rule, urban development, and the spatial distribution of cities.
- Quote paper
- Susanne Jung (Author), 2003, Why do Cities develop? And why they are different in size?, Munich, GRIN Verlag, https://www.grin.com/document/53645
