Discuss in detail and critically examine the industrial location theory of weber
Answers
Answer:
Alfered Weber a German economist was the first economist who gave scientific exposition to the theory of location and thus filled a theoretical gap created by classical economists. He gave his ideas in his Theory of Location of Industries’ which was first published in German language in 1909 and translated into English in 1929. His theory, which is also known as ‘Pure Theory’ has analytical approach to the problem.
The basis of his theory is the study of general factors which pull an industry towards different geographical regions. It is thus deductive in approach. In his theory he has taken into consideration factors that decide the actual setting up of an industry in a particular area.
Weber’s Problems:
Weber was faced with many serious problems. He wanted to find out why did industry moved from one place to another and what factors determined the movement. After considerable thinking he came to the conclusion that causes be responsible for this migration could be Regional Factors Primary Causes and Agglomerative and deglomerative factors (Secondary Factors).
In so far as regional factors were concerned these, among other things, included cost of the ground, buildings, machines, material, power, fuel, labour, transportation charges and amount of interest that the capital would have earned.
i. Regional Factors (Primary Causes):
According to Weber transportation costs play a vital role in the location of an industry. Each industry will try to find location at a place where transportation charges are the barest minimum, both in terms of availability of resources and place of consumption. According to him transportation costs are determined by the weight to be transported on the one hand and distance to be covered on the other.
Then the cost will also depend on the type of transportation system available and the extent to which it is in use. the nature of the region i.e. whether rocky, plain, connected or unconnected with roads etc. the kinds of the roads in the area where the goods are to be transposed; nature of facilities required i.e. whether the goods are to be taken with great care, less care or even without any special care.
Explanation:
Answer:
Industrial location theory of least cost was was given by Alfred weber whether an industry is located on the basis of the transportation and frms seeks to find out the minimum transport and the labour costs.
Explanation:
- He tries to explain this theory gave the material index and the agglomeration and the deagglomeration of industries, and clustering of the labor as per the location.
- Where the material index is based on the costs of the material to be transported to a distant location and the two ratios of the weight are taken as M1 and M2.
- The agglomeration is a phenomenon of the spatial clustering and is thus linked to the internal and external economies.
- He found that the least cost would be found by assumption of an isotropic plain surface, where a model of single country with a uniform topography, a uniform climate, and a uniform economy would influence the how the cost are to be managed and agave isodapanes line of equal values that lied to all the location with an equal ability of reducing costs.