GIS For Economic Geography and Business Decisions
Professor Grant Ian Thrall, University of Florida
revised April 9, 2003 -- 12:06 PM
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
Print Your Name______________________
Student ID # _________________________
GIS For Economic Geography and Business Decisions - Geo 5157
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 Sprawl
B. Urban Assault
C. Urban Growth
D. Urban Form
2. The study of urban form over time can be referred to as ______.
A. Urban Transition Urban Morphology
B. Urban Morphology
C. Suburban Growth
D. 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.
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 cost
b.) transportation time measurements
c.) circle measurements
d.) as the crow flies
e.) 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
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?
b.) Race and ethnicity
c.) Lifestyle segmentation profiles
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 contract
c Race, location, product, price, and contract
d 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 assets
b. The pipeline of Real Estate assets
c. The conversion of Real Estate assets
9. The business geographer market analyst engaged by a multi-branch
retail company would derive projections over time of
a. population growth
b. store revenue
c. birth rate
d. store losses
e. 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 abroad
b. the greatest realized increase in revenue from renovated rental property
c. the devaluation of real estate that occurs if the owner is convicted of a
d. 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
a. manufacturing today having lower capital to land ratios than in the 19th
b. dispersal of populations away from traditional industrial centers
c. Both A & B
d. 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 rates
b. More technological infrastructure
c. 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 computer
b. aircraft carrier
c. cup of coffee
d. 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
d. evaluates whether there is a market to support the development of a
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
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 Explanation
b. Prediction and Judgment
c. Management and Implementation
d. 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.
23. Which of the following are not among the business geographer’s
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.
c. remains constant
d. remains interdependent
26. Using the Reilly Model equations, business geographers can:
a. examine competition between market centers
b. develop methods for estimating consumers expenditures
c. estimate market area boundary
d. 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 taste
b. breakpoint of market area dominance
c. average employee commute time
28. What did Ricardo hypothesize that high rents were attributable to?
a. External Market Forces
b. The Consumption Theory of Land Rent
c. The “niggardliness of nature”
d. The most productive land
29. From the Ricardian world perspective, land value depends upon
a. absolute location
b. determinable market forces
c. the bidding process of the market
d. 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
c. 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.
32. Examples of budget constraint shifters include:
a. pension, transportation type, and taxes
b. inheritance, transportation time, and taxes
c. income, transportation cost, and taxes
d. benefits, transportation infrastructure, and taxes
33. Examples of utility shifters include:
a. transportation, housing, and shopping
b. driving, amenities, and location
c. 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 A
b. Figure B
c. Figure C
d. 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)q
b z = (y-ks)/p-(r/p)q
c z = (y-ks)/r - (r/p)q
d none of these possibilities represent the budget constraint
36. If distance from a CBD increases, then all other things being equal
a. 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
b. numerous independent variables
c. spatial autocorrelation
d. 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 management
b. store sales
c. store area
d. 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
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 area
b. evaluate the competitive position of the project
c. risk analysis
d. 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
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 penetration
b. Potential sales
c. Store size and store function
43. Both Von Thünen’s & Ricardo’s theories of land value:
a. assume an isotropic surface
b. are based upon agricultural productivity
c. 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 Cost
b. Total Manufacturing Cost
c. Total Production Costs
d. None of the above
46. Among the general methods for geographically delineating a trade area
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.
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 measurements
b. irregular polygons
c. circular trade areas
d. transportation networks
e. drive time estimations
49. As land consumption increases, population density _____.
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.
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' incomes
c. agricultural land prices is greater than urban land prices at the urban
d. the cost of necessary urban infrastructure is greater than what new
residents are willing to pay at that location
e. 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
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
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 : darker
b. darker : lighter
c. green: blue
d. 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.
57. In _____ customer spotting method, the first step is to create a map of
the geographic location customers.
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
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)
62. What does P stand for in the equation for the logistic "S" curve?
a. the rate of diffusion of the phenomenon
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?
65. The ___________ index became a popularly accepted measure of
transformation to economic prosperity for the U.S. middle-income
household. (chapter 5)
a. autos manufactured
b. 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)
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)
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 answers
e. 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)
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.
a. state economic
b. regional natural
c. local urban built
d. national business
79. Which GIS procedure can be used to aggregate selected attribute
values between data layers? (chapter 6)
80. How many steps are necessary for demand analysis for office?
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
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