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Networks and the location of economic activities

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  1. The residual terme 5 may include such factors as: quality of the network, relief, etc. It might even be considered as random, thus reflecting the risks to which traffic betweenu andu′ is subject.

  2. Ife 1 ande 2 are considered as prices, the expressione 1 D uu′ +e 2 T uu′ may be considered as a transport cost. The integration of the capacities appearing in the denominator (so as to take into account the bottleneck effect produced by a capacity saturation) makes it difficulty fully to interprete uu′ .

  3. This presupposes that the rural population has become part of that of the towns.

  4. Here again, we do not claim that the conventional notion of the population potential is the best way of representing the “value” of a point in the territory; more subtle means of expressing it might be found. It is merely that the expression chosen integrates as simply as possible the “content” and the “container” aspects of the territory while taking the transport network into account.

  5. A difficulty arises in the case of an all-around recession. The model then postuates that local recession is proportional to the local potential, which is not very realistic, for at first sight it would appear that the towns with the highest potential should be in a better position to resist recession than others. This model, therefore, would not appear to be of much use in the case of all-around recession.

  6. We could also assume that growth rate of a town is proportional to the difference between the town's potential and a fixed valueV t0 . Such a model would be subject to the same comments as model “B”.

  7. Model “B” relates the growth of the towns to the difference between the potential of these towns and a fixed value. We may suppose that this fixed value is not in fact independent of the rate of overall gaowth.

  8. It is obvious that there is a definite relation between the two phenomena, through the distribution of production units according to size.

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Lachene, R. Networks and the location of economic activities. Papers of the Regional Science Association 14, 183–196 (1965). https://doi.org/10.1007/BF01940912

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