Industrial location theory in German thought – Launhardt and Weber

Abstract

SummaryThere is an entire branch of industrial location analysis in economics and operational research that refers back to Weber. In this paper I show that the model he developed had already been proposed by W. Launhardt in 1882 as a generalization of a route planning method presented in 1872. It contained all the technical aspects of Weber’s model. That does not mean Weber should be forgotten though, as his contribution involves far more than the simple presentation of the model. In terms of method, he defends and uses the hypothetical-deductive method. As for the content, he attempts to understand the formation of concentrations of economic activities and population, which leads to an interesting analysis of agglomeration economies.