GEOGRAPHY 5157

GIS For Economic Geography and Business DecisionsProfessor Grant Ian Thrall, University of Florida

revised April 9, 2003 -- 12:06 PM

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These exam questions are based upon material presented in:

Thrall, Grant Ian. 2002. Business Geography and New Real Estate Market Analysis. Oxford University Press: London and New York.These questions have been written and provided by students enrolled in classes using Professor Thrall's 2002 book.

Questions Covering Part I, Chapters 1-4

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GIS For Economic Geography and Business Decisions -   Geo 5157

Exam 1 Chapters 1-4 of

Grant Thrall, 2002, Business Geography and New Real Estate Market Analysis Oxford University Press, London and New York

 

1. The geographic pattern of land use and land values is referred to as ______.A. Urban SprawlB. Urban AssaultC. Urban GrowthD. Urban Form

2. The study of urban form over time can be referred to as ______.A. Urban Transition Urban MorphologyB. Urban MorphologyC. Suburban GrowthD. Urban Evolution

3. The US Census Bureau creates tract boundaries to contain relatively uniform populations sharing similar social and economic characteristics and living conditions, having about ______ people.A. 2,000B. 8,000C. 4,000D. 16,000

4. Which of the following measurements of accessibility is generally preferred by market analysts for retail facilities such as restaurants, drug stores, and so on?a.) transportation costb.) transportation time measurements c.) circle measurementsd.) as the crow fliese.) Manhattan distance

5. Why is the use of race and ethnicity measurements an exception and actually seldom used in real estate market analysis?a.) The market analyst must ethically and legally maintain professional decorum.b.) There are better measurements available to the real estate market analyst than race and ethnicity.c.) Race and ethnicity have become outmoded descriptive measurements of population subgroups.d.) By not including race and ethnicity in the analysis, it is thought that racial or ethnical biased results will not enter into the analysis.e.) All of the above

6. What does the market analyst rely on today that is superior at capturing and identifying unique and important traits of population subgroups?a.) Neighborhoodsb.) Race and ethnicityc.) Lifestyle segmentation profiles d.) Gendere.) Income

7. What are the big five components that a real state decision-maker must integrate into their Risk Management and Decision Making?a  Location, timing, product, price, and contract b  Conversion, location, timing, price, and contractc  Race, location, product, price, and contractd  Cycles, timing, product, price, and contract

8. The supply of a particular type of real estate asset that is in the planning or construction phase is:a. The retrofitting of Real Estate assetsb. The pipeline of Real Estate assetsc. The conversion of Real Estate assets

 9. The business geographer market analyst engaged by a multi-branch retail company would derive projections over time ofa.  population growthb. store revenuec. birth rated. store lossese. store revenue and store losses

10. According to Dr. Thrall’s analogy the “prisoners dilemma” refers to:a. the indictment of John Walker as it correlates to the fall in real estate markets in the US and abroadb. the greatest realized increase in revenue from renovated rental propertyc. the devaluation of real estate that occurs if the owner is convicted of a felonyd. the dilemma of whether or not to maintain real property based on the actions of fellow property owners.

11. According to Dr. Thrall, changes in manufacturing technology can best explain:a. manufacturing today having lower capital to land ratios than in the 19th centuryb. dispersal of populations away from traditional industrial centersc. Both A & Bd. Neither A or B

 12. According to Dr. Thrall, one of the benefits a traditional “Downtown” has over the “Suburbs” during the past 30 years has been:a. Opportunities for greater household welfare through lower crime ratesb. More technological infrastructurec. Central meeting – socialization place d. None of the above

13. Which of the following is an example of a pure private good? a. Krishna chant on the university plaza b. a vitamin pill  c. the University of Florida d. an aircraft carrier

14. Which of the following is an example of a pure public good?a. laptop computerb. aircraft carrier c. cup of coffeed. Dr. Thrall's Porsche

15. A Business Geographer...a. evaluates the impact a development will have upon the urban area.b. calculates and makes available what the local multiplier will be.c. will asses the appropriate property tax necessary to sustain the     local government.d. evaluates whether there is a market to support the development of a particular location.

16. Which among the following has was the most important contributor to the decline of the downtowns of many cities in the US during the second half of the twentieth century? a. National Highway Defense Act  b. Inappropriate Business Geography decisions c. The “malling” of America d. Increased inner-city crime e. The industrial revolution

17. Which of the following determines market value? a. Real estate market analysis. b. Development cost. c. The realized revenue stream. d. An empirical formula.

18. Sub markets are  ________ with one another and each is __________ with the whole.      a. Interdependent : Independent. b. Independent : Independent. c. Interdependent : Interdependent. d. Independent : Interdependent. 19. What is the difference between business geography and traditional economic geography?a. Economic geography includes the research on business geography.b. Business geography improves the business decision.c. Economic geography integrates geographic analysis, reasoning, and technology for the improvement of the business judgmental decision.d. Business geography is a kind of descriptive geography.

 20. Which of the following is are steps with Professor Thrall’s hierarchical categories of geographic reasoning?a. Description and Explanationb. Prediction and Judgmentc. Management and Implementationd. All these answers

21. The preface suggests that which of the following statement is correct?a. Today academics in both geography and real estate have pursued the same problems, with the same objectives, but different methods, because GIS is only used by geography.b. Professor Thrall's book "Explanation in Geography" heralded a several decade long development of explanatory reasoning in geography.

c. Explanatory knowledge, not descriptive knowledge, has been demonstrated to improve decision-making by practitioners.d. A new real estate market analysis could be more productive, more accurate, and more valuable to the judgmental decision by using business geography technology and methods.

22. The average business has _____ of its assets in real estate. a. 5% b. 10% c. 25% d. 85%

 23. Which of the following are not among the business geographer’s primary responsibilities? a. when to sell b. where to build c. when to build d. what price e. the business geographer is not responsible any of the items on the list

 24. In ____, TIGER/Line geographic data was first published by the _____. a. 1980 : US Census b. 1990 : US Census c. 1990 : USGS d. 1992 : USGS e. none of the other answers

25. The Gravity model based on Newton's hypothesis states that the interaction between two objects ________ as distance increases. a. increasesb. decreasesc. remains constantd. remains interdependent

26. Using the Reilly Model equations, business geographers can:a. examine competition between market centersb. develop methods for estimating consumers expendituresc. estimate market area boundaryd. all of the above

27. Although the Reilly Model is noted for its simplicity, it uses Euclidean geometry to calculate which of the following?a. consumer tasteb. breakpoint of market area dominance c. average employee commute time

28. What did Ricardo hypothesize that high rents were attributable to?a. External Market Forcesb. The Consumption Theory of Land Rentc. The “niggardliness of nature”d. The most productive land

29. From the Ricardian world perspective, land value depends upona. absolute locationb. determinable market forcesc. the bidding process of the marketd. absolute and relative productivity of land

 30. One of the shortcomings of Ricardian land rent theory is that it a. location was not directly accounted for b. it placed greater emphasis on absolute location at the expense of relative locationc. it was valid only for England and Wales early in their industrialization

31. An _____ city is defined as one where the population can change, and spatial  equilibrium welfare is constant.a. openb. freec. populatedd. metropolitan

32. Examples of budget constraint shifters include:a. pension, transportation type, and taxes b. inheritance, transportation time, and taxesc. income, transportation cost, and taxesd. benefits, transportation infrastructure, and taxes

33. Examples of utility shifters include:a. transportation, housing, and shoppingb. driving, amenities, and locationc. commuting, zoning, externalities, and public goods d. eating, sleeping, and drinking

34. If land prices R[s1] decreases to R[s2], what would be the effect in the indifference curve U?

a. Figure Ab. Figure Bc. Figure Cd. None of these figures

35. In Professor Thrall’s Consumption Theory of Land Rent, what is the equation for the budget constraint?a    z = (y+ks)/q - (r/p)qb    z = (y-ks)/p-(r/p)qc    z = (y-ks)/r - (r/p)qd    none of these possibilities represent the budget constraint

36. If distance from a CBD increases, then all other things being equala. land price would increase.b. land price would remain the same.c. land price would decrease.

37. In regression analysis, a real estate market analyst may encounter the following problems:a. multicollinearityb. numerous independent variablesc. spatial autocorrelationd. all these answers

38. The concept of "residual" was discussed in Thrall (2002), and explored by Cottrell (1973) and Ghosh & McLafferty (1987). They considered "residual" to be the effect of:

a. store managementb. store salesc. store aread. none of the above

39. According to Thrall (2002), "analog Regression" is different from "regression" in that:a. Analog Regression is a technique in which "the performance of the store is usually the dependent variable."b. Analog Regression is a technique in which "the market share of submarkets of the store's trade area is used as the dependent variable." c. Analog Regression has the anti-log of a data field as the dependent variable.d. Analog Regression has the log of a data field as the dependent variable.

40. Which of the following is NOT a general step included in all real estate market analysis?a. establish a trade areab. evaluate the competitive position of the projectc. risk analysisd. measure demand

41. Following the tradition of geographer William Applebaum, Thrall in his 2002 book defines the primary trade area as having _____ per cent of the customers.a. 70b. 75c. 80d. 85

42. According to Applebaum’s principles, why could contemporary regional malls and power centers often out-compete stand-alone stores with superior locations?a. Market penetrationb. Potential salesc. Store size and store functiond. Agglomeration      

43.  Both Von Thünen’s & Ricardo’s theories of land value:a. assume an isotropic surface b. are based upon agricultural productivityc. are based upon decision makers in the urban market center d. assume an isotropic surface and are based upon agricultural productivity

44. Von Thünen is not credited with having added which of the following

to land value theory:a. "absolute location & relative spatial location"b. "absolute & relative productivity of land"c. "highest and best use"d. "opportunity costs"

45. Von Thünen’s land use equation can be written:                Land Rent = Total Revenue - Total Cost - (_________)a. Total Transportation Costb. Total Manufacturing Costc. Total Production Costsd. None of the above

46. Among the general methods for geographically delineating a trade area are: a. rules-of-thumb b. gravity models c. spatial interaction models d. all of these answers

47. What is the rule-of-thumb concerning the appropriate radius to use to represent the primary trade area? a. They are specific to various real estate product niches. b. 70-80% c. 8 miles d. transportation corridors e. 5, 10, 15 minute driving times from a central place

48. The use of _________ is a common problem that creates unnecessary error in trade area analysis. a. demographic measurementsb. irregular polygons c. circular trade areas d. transportation networks e. drive time estimations

49. As land consumption increases, population density _____. a. decreases b. increases c. remains constant d. remains unequal e. reaches its threshold

50. Land prices and population density must _____ with increasing distance from the CBD, all other things being equal.

a. decrease b. increase c. reach a threshold d. remain constant e. remain unequal

51. The urban periphery generally occurs where it does in the United States, in the absence of physically constraining factors, because a. population density naturally declines b. transportation cost exceeds households' incomesc. agricultural land prices is greater than urban land prices at the urban periphery d. the cost of necessary urban infrastructure is greater than what new residents are willing to pay at that locatione. none of these answers

52. The term "pipeline" in real estate market analysis refers to: a. data used to measure the appraisal value of available property. b. real estate at various stages of planning and construction, and before a certificate of occupancy has been issued. c. real estate after a certificate of occupancy has been issued, but before tenants have moved in.d. None of the above.

53. What from Thrall’s discussion of Comps.com data would disqualify it from being used as the sole measurement of real estate supply in the near future? a. Comps.com data only includes commercial real estate that has been issued a certificate of occupancy. b. Comps.com data is too sporadic within markets it purports to cover. c. Comps.com data is unreliable.d. None of the above.

54. Why are wealth measurements important for demand estimation? a. They indicate the purchasing capacity of households for residential property. b. Wealth measurements indicate the demand by households for goods and services obtained from commercial real estate structures. c. Wealth measurements show the real estate needs of business enterprises such as office space. d. All of the above.

55. Using ESRI’s kernel method, the ____ shaded areas represent locations of greater density than those areas demarcated in ____ shades.a. lighter : darkerb. darker : lighter

c. green: blued. red : yellow

56. People with similar LSPs tend to live in _____ proximity to one another and thereby form neighborhoods of people sharing similar lifestyles and demographic profiles.a. closeb. distantc. unknown

57. In _____ customer spotting method, the first step is to create a map of the geographic location customers.a. Hoyt'sb. Pruett'sc. Applebaum's d. Reilly's

Questions Covering Part 2, Chapters 5-10

58. Market analysts using which of the following are most likely to establish a realistic trade area for housing? (chapter 5)a. Rule-of-thumb techniques involving drive time or radial distance b. Contractor's banking recommendations c. Assessment data retrieved with SQL-like queries d. Both Rule-of-thumb techniques and Assessment data retrieved with SQL-like queries

59. Using a VB (Visual Basic) application, a user could create a query that is designed to retrieve what type information? (chapter 5)a. Information found in records regarding Department of Revenue Codes b. Any information stored in a proprietary dBase file c. Specific records of property assessment files d. All of these answers

60. Business Geographers and market analyst of the 21st century must have knowledge of which of the following? (chapter 5)a. Software programming b. Database management software c. Access to someone with that requisite knowledge d. All of these answers

61. During the post WWll era, which person wrote about diffusion as a process in which phenomena that can change location, originating from

single or multiple sources, can in time spread through a space? (chapter 5)a. Hagerstrand b. Veblen c. Hoyt e. Applebaum

62. What does P stand for in the equation for the logistic "S" curve? (chapter 5)a. the rate of diffusion of the phenomenon b. time c. the asymptote d. the intercept e. the slope of the line

63. As market penetration of the submarket increases and saturation occurs, where does development occur next according to the diffusion process? (chapter 5)a. a submarket in the opposite direction b. a built-out submarket c. an adjacent submarket d. a popular submarket e. a declining submarket

64. What is the housing occupancy of the land area of a typical city? (chapter 5)a. 50% b. 60% c. 70% d. 80%

65. The ___________ index became a popularly accepted measure of transformation to economic prosperity for the U.S. middle-income household. (chapter 5)a. autos manufacturedb. housing starts c. interest rates discounted for inflation d. new shopping center square footage

66. What was the percentage of single family dwelling at the start of the 21st century that make up all new housing? (chapter 5)a. 81% b. 70% c. 65% d. 54%

67. When the price is greater, less housing will be purchased; likewise, when the price is lower, more housing will be purchased. This behavior is known as which of the following? (chapter 5)a. "general" good b. "usual" good c. "common" good d. "normal" good

68. In his book, The Theory of the Leisure Class, __________ introduced the phrase "conspicuous consumption," used to describe the competition for social status. (chapter 5)a. Thorstein Bunde Veblen b. Grant Ian Thrall c. William G. Gigsby d. Frank Lloyd Wright

69. Style trends might give rise to "_____ bubbles" of short duration for a style of housing, or even for a neighborhood style? (chapter 5)a. double bubbles b. inflation bubbles c. supply bubbles d. style bubbles e. demand bubbles

70. According to Bourassa and Grigsby 2000, about ______ of households in the US and Canada live in apartments? b. (chapter 5)a. 10% b. 30% c. 50% d. 20%

71. In the book Business Geography and New Real Estate Market Analysis, the cut off to develop a new project, or not, is said to be in the range of ______ to ______ projected vacancy. (chapter 5)a. 5%, 10% b. 10%, 15% c. 3%, 6% d. 6%, 12%

72. In the book Business Geography and New Real Estate Market Analysis, the value that GIS brought to the apartment example of real estate market analysis for a new apartment development was: (chapter 5)a. increased accuracy b. increased productivity

c. overall improved analysis over pre GIS methods d. improved judgmental decision e. all of these answers

73. The absorption rate is measured as the number of apartment units that if built, can be rented within a particular ______. (chapter 5)a. price range b. time period c. vacancy rate range d. all of these answerse. price and time

74. Which of the following can be used as surrogate measures of apartment type and revealed target demographic niche? (chapter 5)a. Renters' races b. Renters' average income c. Renters' social status d. Renters' LSPs (lifestyle segmentation profiles)e. Median rent

75. The apartment example in the book Business Geography and New Real Estate Market Analysis, it is found that as the year in university increased, the proportion of students residing inside the primary trade area ______. (chapter 5)a. increased b. decreased c. constant d. no correlation was found between school year and residence location

76. Today in the 21st Century, business geographers performing market analysis. (chapter 5)a. routinely create forecast data themselves. b. routinely buy forecast data from private data venders versus creating the forecast data themselves. c. routinely follow procedures established as "best practice" by the national certification board of business geographers. d. must have advanced degrees in the field of "business geography."

77) The final report of a business geographer should include ______________. (chapter 5)a. findings on the trade area. b. findings on the supply of competitive real estate product. c. findings on the demand estimates for the real estate product. d. findings on relevant socio/political situation in support or opposed to the development of the real estate product.e. all of these answers

78. A market analyst needs a description of the overall project within the wide context of the forces that are shaping the ___________ environment. (chapter 5)a. state economic b. regional naturalc. local urban built d. national business

79. Which GIS procedure can be used to aggregate selected attribute values between data layers? (chapter 6)a. point-in-point b. point-in-line c. point-in-polygon

80. How many steps are necessary for demand analysis for office? (chapter 6)a. 3 b. 4 c. 5

81. Where does the demand for office space come from? a. people wanting more jobs b. firms seeking quarters for their clerical, supervisors, and management personnel c. the urban and regional planning department

82. What types of analysis will a multi branch retail chain use? (chapter 7)a. analysis at the macro scale b. analysis at the micro scale c. analysis at both macro and micro scales