Correct option is D
It is suitable for distribution of central places with sparse distribution of settlements: Incorrect.
Losch’s central place theory is better suited for densely populated areas with more frequent interactions and economic activities, not sparse distributions.
It is more valid for tertiary services than secondary activities: Incorrect. Losch’s theory applies to both secondary (manufacturing) and tertiary (services) activities, not just tertiary services.
Information Booster:
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Losch's central place theory is an economic-geographical model that expands on Christaller's theory by focusing on optimal location for economic activities and considers multiple central places at various scales.
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K factor refers to different levels of central places and their services, with
K=3, K=4, K=7 commonly used to represent varying degrees of influence and service areas.
Additional Knowledge:
It is suitable for understanding the economic change in densely populated regions: Correct. Losch's theory is indeed more appropriate for densely populated regions where economic activities and central places are closely interlinked.
It assumes the coexistence of a large number of ‘K’ factor values and hierarchies: Correct. The theory allows for the existence of multiple hierarchies or ‘K’ values, which represent different levels of central places and their surrounding market areas.