©2011 Cengage Learning. Chapter 6 ©2011 Cengage Learning REGIONAL AND COMMUNITY ANALYSIS.

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©2011 Cengage Learning

Transcript of ©2011 Cengage Learning. Chapter 6 ©2011 Cengage Learning REGIONAL AND COMMUNITY ANALYSIS.

Page 1: ©2011 Cengage Learning. Chapter 6 ©2011 Cengage Learning REGIONAL AND COMMUNITY ANALYSIS.

©2011 Cengage Learning

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Chapter 6

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REGIONAL AND COMMUNITY ANALYSIS

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The Origins of CommunitiesEconomic activity is the foundation for

communities todayEconomic activity has a major effect on the

choice of location

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Commercial influence results in three types of citiesThe central city: performs a variety of services

for the surrounding area.The transportation service city: provides

services along transportation routes including transportation nodes (locations) such as “break cargo” points.

Special function cities: mining, government, retirement, and others.

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Reasons for community originsBreak-cargoReligious centerRetirementPoliticalResource extraction

ManufacturingEntertainmentEducationTransport serviceCentral city

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Few communities are self-sufficient & must:

Pay for the imported goodsExport goodsEarn moneyUse the money to buy needed imports

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All companies and their employees are separated into two broad categories

Basic industries or basic employment

Local or secondary industries and employment

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Economic change is certain:Communities need to change

with new market conditionsNew jobs are required for the

economic health of a community

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Changes in the economy include:Technology

Population Demographics

Availability of Resources

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Communities compete to attract businesses & may leave communities that are:

High-cost

High-tax

Not business friendly

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Businesses may move into communities that are:

Low-cost

Low-tax

Business friendly

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Community GoalsEach community or region should consider its

economic futureDecisions include to:

declinehold stablegrow

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How to Study a CommunitySupply and demand factors have been

traditionally used.Supply factors include an inventory of

existing structures and their size, price, age and condition.

Demand factors include population, both in total numbers and by age, education, and income.

Important long-term influence on a community’s population and employment is its basic or export employment.

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How to Study A CommunityTraditional Community Analysis Basic Employment Reviewed

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Regional Economic StudiesEconomic Base StudyInput-Output StudyGate keeping syndrome

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There is a tremendous variety of source material available for persons wishing to understand a community.

United States Census BureauRegional and local planning agenciesState Board of Equalization (sales tax) Chamber of CommerceLocal and regional business publicationUtility companiesColleges and universities

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