Thünen's location theory

Thünen's location theory explains how agricultural activities are arranged around a central market based on transportation costs and land value. It suggests that different crops and farming practices are chosen depending on their profitability relative to their distance from the market; perishable or bulky goods are grown closer to reduce transportation costs, while less perishable or market-bound crops are cultivated further away. This creates concentric zones around the market, each specialized for certain types of farming, with land use shaped by economic efficiency and transportation considerations.