Locational behavior in manufacturing industries by W.R. Latham III

By W.R. Latham III

The examine integrated during this monograph was once before everything undertaken as a part of a Ph. D. dissertation submitted to the collage of lllinois in 1973. Revisions have been finished on the collage of Delaware. i need to gratefully recognize the help of Hugh O. Nourse who prompt the research, Paul Chouinard who ably and safely translated verbal directions into desktop programmes, and Harold F. Williamson, Jr. and Peter Nijkamp who commented atlength on prior drafts of the manuscript. speedy and actual typing of numerous drafts of the manuscript and worthwhile editorial counsel have been supplied by means of my spouse, Sally M. Latham. Contents PREFACE vii xi record OF TABLES 1. creation 1 the necessity for business place research 2 focus on disaggregated production job three the positioning of monetary task five the standards of position process 6 Agglomerative economies as place components nine define of following chapters eleven 2. DESCRIPTION OF the information BASE thirteen areas used thirteen situation info 15 business linkage info 19 precis 22 three. dimension of things INFLUENCING business position 23 Nonrandomness in situation 23 The orientation of industries 27 exertions orientation 28 marketplace orientation 34 fabric orientation 35 Agglomerative economic climate orientation 38 precis forty three forty six 4.

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Agglomeration economies in this study are possible when spatial juxtaposition of firms in different manufacturing industries will permit reductions in transportation costs on traded inputs and outputs. Potential reductions in transportation costs on output sold to final demand are viewed as encouraging market orientation and potential reductions in transportation costs on inputs purchased from all primary resource suppliers as a whole are viewed as encouraging resource orientation. Inputs and outputs traded with the service, government and foreign sectors are ignored.

This section will describe how potential agglomerative orientation is identified using industrial linkages derived from input-output data. The following chapter will discuss how realized potential agglomerative economies are identified across regions. Weber's industrial location theory was among the earliest to incorporate the intuitively appealing proposition that, other things being equal, profitmaximizing entrepreneurs who trade their products with one another will attempt to locate their industrial establishment near to each other in order to minimize the necessary costs of transportation on the traded products.

See Isard [22: 361 J and Lichtenberg [29: 265J for examples of industries that may be labor oriented. 8. 60 in the 1963 Input-Output Study) [56]. 02) includes sales to governments at all levels, investment expenditures and net exports. Clearly the concept of market orientation is not closely related to these latter sectors. 90). 70) with the remainder being exported or purchased by government. 9. The possibility that population density (a variable used by Spiegelman) rather than population could be a better measure of the market was considered but rejected.

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