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Urban Studies, Vol. 22, No. 3, 257-261 (1985)
DOI: 10.1080/00420988520080391

Rent Gradient Under Uncertainty

Gershon Alperovich

Department of Economics, Bar-Ilan University, Ramat Gan, Israel

Eliakim Katz

Department of Economics, Bar-Ilan University, Ramat Gan, Israel

This paper seeks to further develop location theory under uncertainty, within the classical framework of land use models formulated by Von Thünen and Alonso. The analysis proceeds by allowing uncertainty in the price of output, the transport rate of a unit of output and output per unit of land. Results are derived concerning the position and slope of the rent gradient, as compared to the case of certainty.


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