Intro' to Classical CentralPlace Theory

1
Intro. to Classical Central-Place Theory

• Walter Christaller (1933)
• To explain the size, number and spatial
  distribution of central places why some are
  bigger than others
• Central places function entirely as market
  centers for their surrounding areas (so-called
  hinterlands, trade or market areas)
• Central places are centers of tertiary
  activities, ignore the cities role as
  manufacturing centers

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Assumptions of Central-Place Theory

• An isotropic surface
• A given level and uniform distribution per
  capital of demand and population
• Optimizing Producers and Consumers
• Perfect Competition
• Ubiquitous production inputs at the same price
• No shopping externalities one-stop shopping and
  comparison shopping

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Building Blocs of Central Place Theory (1)

• The Threshold of One Product or Service the
  minimum number of people necessary to support a
  central function
• Examples?
• Jewelry Shop
• ??? ???
• AU Wireless

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Building Blocs of Central Place Theory (2)

• The Range of a Product or a Service the farthest
  distance the consumer is willing to travel for a
  particular good offered at a central place
• The larger the range of a good, the higher the
  order of the good becomes

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Christallers Hexagonal Trade Area

• Given the assumptions, the trade areas for each
  central place would be circular.
• However, circular trade area would leave some
  areas unserved.
• When the centers move closer to serve all areas,
  their trade areas become hexagons.

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Christallers Hexagonal Trade Area
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Central -Place System K3, K4, K7

• K3 Marketing Principle
• Minimum number of central places
• K4 Transportation Principle
• Minimum length of transportation routes
• K7 Administrative Principle
• separation of political units
• Always start from the highest order centers

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K3 Market Principle

• The largest provision of central-place goods and
  services from the minimum number of central
  places

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K3 Market Principle
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K4 Transportation Principle

• Minimize the lengths of roads needed to join all
  adjacent pairs of central places

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K3 vs. K4 Transportation Routes
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K7Administrative Principle

• Require sociopolitical separation of market areas

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Characteristics of Central Place Theory

• The larger the central place, the greater the
  variety of central functions
• The larger the central place, the greater the
  distance to a place of comparable size
• Places at the same level in the hierarchy offer
  the same mix of tertiary goods and services
• The higher the level in the hierarchy, the fewer
  the number of central places at that level

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Characteristics of Central Place Theory

• The larger the central place, the greater the
  variety of central functions
• The larger the central place, the greater the
  distance to a place of comparable size
• Places at the same level in the hierarchy offer
  the same mix of tertiary goods and services
• The higher the level in the hierarchy, the fewer
  the number of central places at that level

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Static Theory vs. Dynamic Theory

• In the static theory we explained the mutual
  relationships and in the dynamic theory, we
  explained the effects of changes in the simple
  facts, on central places.
• Christallers goal ? Dynamic Theory