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Demographic analysis methods help to provide planners with an
insight into certain development tendencies related to the settlement
pattern. The method only provides a limited insight into these since it
does not indicate how functions are related to each between the
settlements and the agglomeration economies. Agglomeration economies
are important in development. The range of services being offered and
the economic opportunities that exist are all essential elements
required to stimulate economic growth and development.
Access to market outlets, access to labour and other essential services
helps to reduce the costs of production and increases income and
eventually welfare. Easy access to roads has proved to be an important
ingredient in developing rural areas in a country since reduced
transportation costs and actual access to markets determines the
variety, the quality and the prices of goods and services as a minimum
aggregated buying power is needed to create sufficient demand for the
supply of certain goods and services.
Functional analysis method is an approach through which planners can gain a deeper insight into issues such as:
- Classification of settlements patterns according to functions.
- Level of adequateness of functions in particular settlements.
- Levels of deficiency of functions or settlements where improvements in functions can be undertaken.
- Settlements that offer the potential of being upgraded to higher order settlements.
- Settlements fulfilling threshold values required to support basic services and facilities.
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