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A contribution to the land market analysis in Moзambique

2. The Land Price Formation
 
It is indisputable that land use is related to social class differences and its prices. The price formation mechanisms depend on “time subsystem that express evolution phenomenon results and history compensation chain, and the space-function subsystem that means by double relations dependency.

The land price is influenced by macroeconomic factors and other more subtle and localized factors. In a simple theoretic schematization, intervene centrality, spatial age and accessibility and the relationship between periphery and transports.

In countries with a free economy, “ the land prices should reflect the land market law, which means, balance between supply and demand” a balance with a spatial and time aspect.

In an urbanized space with “homogeneous” natural conditions, the central part is privileged, it has maximum accessibility, long time occupation and complete equipment, because the demand is higher than the supply; the land value is maximum and that is where high peak land values are found. The further away from the center, demand pressure reduces and the prices are lower. Urban activities are distributed according to its paying capacity and the surface needs.

The time factor modifies general conditions; “As times go by and city built areas increases, the spatial conditions change”. Therefore, time and space determines simultaneously “ outline the land value and variations parallel to urban evolution”. The economic and social effects (transports) can locally modify the general outline.

"In determining prices, not only the closeness to the center and the circulation axis to it, has an influence, but also the place and equipment quality”. Or still " the urban land value is reinforced not only by the interior urban space, but by the constructions quality”. For that, If the localization values general theory from center to the periphery, according to decreasing halo, modified by the passing of the communication axis can be considered valid” other detailed factors should be considered locally.

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