According to Alfred Weber, what is the formula for 'Material Index'?

Correct option is B

According to Alfred Weber’s Theory of Industrial Location, the Material Index (MI) is calculated as the ratio of the weight of raw material to the weight of the finished good. This index helps determine the extent to which an industry is either material-oriented (closer to raw materials) or market-oriented (closer to the market). If the Material Index is greater than 1, the industry tends to be located near the raw material sources to minimize transportation costs.

Information Booster:
· Material Index is crucial in determining the optimal location for industries based on transportation costs.
· MI > 1: Industry is raw-material oriented (e.g., mining, cement industries).
· MI < 1: Industry is market-oriented (e.g., soft drink production).
· This concept is a core component of Weber’s Least-Cost Theory, which aims to minimize total transportation, labor, and agglomeration costs.