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Exactly what is the theory by Losch? How does it improve over Christaller's theory. I know that it has relaxed assumptions of Christaller. But wanted to know how his theoretical model works. I tried to google but could not find good material on Losch.
As you know, Christaller's Central Place Theory seeks to explain the number, size and location on settlements on the basis of constant K (functional interdependence of settlements). However, he had rigid assumptions in his theory (that later formed the basis for quantitative revolution) which were improved upon by Losch.
Christaller's assumptions were - i. Consumer as rational economic creature ii. Homogeneity in availability of goods & services ii. Same sphere of influence for all goods & services
Losch's Improvements: i. People are not always driven by low distance & economic advantage factor. Sometimes consumers tend to buy costly items from big markets and shops that have more reputation, even if they are far away. Losch instead referred entrepreneur to be rational economic and emphasized that profit maximization will drive him towards the max. demand areas. ii. *Not all market places or settlement of same hierarchy have uniformity in goods & services so the sphere of influence of different central places will also differ (e.g. karol bagh & gaffar market don't have same number of jewellery as well as electronic good shops so their sphere of influence will differ). iii. Sphere of influence of each good or service also differ (A bakery or tea stall attracts people only from nearby areas but a car showroom can attract people from nearby cities as well).
*The second point could be demonstrated with the help of a diagram. We need to draw some small but varied size hexagons inside christaller central place theory hexagon diagram to show variable spheres of influence. I've attached a pic form wiki but it has same size small internal hexagons, we need to vary the size.
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Comments
Christaller's assumptions were -
i. Consumer as rational economic creature
ii. Homogeneity in availability of goods & services
ii. Same sphere of influence for all goods & services
Losch's Improvements:
i. People are not always driven by low distance & economic advantage factor. Sometimes consumers tend to buy costly items from big markets and shops that have more reputation, even if they are far away. Losch instead referred entrepreneur to be rational economic and emphasized that profit maximization will drive him towards the max. demand areas.
ii. *Not all market places or settlement of same hierarchy have uniformity in goods & services so the sphere of influence of different central places will also differ (e.g. karol bagh & gaffar market don't have same number of jewellery as well as electronic good shops so their sphere of influence will differ).
iii. Sphere of influence of each good or service also differ (A bakery or tea stall attracts people only from nearby areas but a car showroom can attract people from nearby cities as well).
*The second point could be demonstrated with the help of a diagram. We need to draw some small but varied size hexagons inside christaller central place theory hexagon diagram to show variable spheres of influence. I've attached a pic form wiki but it has same size small internal hexagons, we need to vary the size.