Study questions for the midterm exam. Bring a blue book. Be on time. Do not place your name on the blue book as I will collect them, mark on them, and redistribute them to the class - randomly. Purchase the large sized blue books. I will select a subset of the following to comprise the actual exam.
Question 1:
Define and explain what is spatial equilibrium? Define and explain what is an open city? Define and explain what is a closed city? How do we normally define the new spatial equilibrium level of welfare in a closed city?
Question 2:
Demonstrate, derive and prove the following: a) land values decline with increasing distance from a central node. b) population density declines with increasing distance from a central node. c) composite good consumption declines with increasing distance from a central node.
Question 3:
Part A: Derive the direct effects for an increase in household income.
Part B: Using the results from Part A, derive the indirect effects within an OPEN city for an increase in household income. Show in your proof the effect upon land values, population density, urban radius, composite good consumption, and total population.
Part C Using the results from Part A, derive the indirect effects within an CLOSED city for an increase in household income. Show in your proof the effect upon land values, population density, urban radius, composite good consumption, and total population.
Question 4:
Land economics is a subdiscipline of more general social sciences - including human geography, real estate, economics, urban planning, political science, sociology, and so on) and has its intellectual origins at least back to the 1700s. Discuss and provide a short commentary on the evolution of "land economics" thought, specifically how the primary thinkers proposed what determins land value (land rent) and land use.
Question 5:
List and explain each of the methods we use to define the boundary of the city? A radial constraint is imposed on a city at a radius less than the market would otherwise bring about. How will a radially constrained city affect household welfare, population density, composite good consumption and the general retail sector, and total population in an OPEN CITY? In a CLOSED CITY?