In: Economics
Consider the model that explains the spatial structure of cities. (a) List and briefly describe the assumptions of the model. (b) Using a figure explain why the price of housing increases as the distance from the center increases.
Solution A
The Burgess Model briefly describes different zones in urban planning as below:
The limitations of model is that there are various overlaps and urban planning sometimes become ineffective and is also not applicable to polycentric cities nor does it take political intervention into consideration .
Solution B
The pricing of houses increase as we move from central because high income groups with complete residential area and maximum urban density amd connectivity is found. These areas are more preferred and always in demand and hence prices increase.