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▪	Economic Geographyv


	Economic geography

	Economic geography is the study of the widely varying economic conditions across the earth. The economics of a geographical area can be influenced by climate, geology, and socio-political factors. Geology can affect resource availability, cost of transportation, and land use decisions. Climate can influence natural resource availability (particularly agriculture and forestry products), and working conditions and productivity. The social and political institutions that are unique to a region also have an impact on economic decisions. These aspects of economics were noted by Adam Smith in The Wealth of Nations and have also been studied by modern economists like David Landes at Harvard University and the 20th century economist Ellsworth Huntington. This can be contrasted with spatial economics or locational economics which looks at these questions from a microeconomic perspective. Instead of ascribing locational decisions to geography, it typically uses more abstract variables like distance or travel time. Economic geography has fallen out of favor in recent decades with most economists switching to "spatial economics" methods.

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