The primary intentions of this thesis are twofold. The first is an attempt to examine the location of economic activity subject to various paramaters involved in the Communication Revolution. These parameters although evident today, are not, I argue, yet satisfactorally encompased in location theory. While the second is an examination of broad issues involved in the social impact of the Communication Revolution. Although at first hand these may seem unrelated, they are really aspects of broader considerations involving the impact of technology on society.
I will attempt to argue that traditionally economic theory views the firm as operating in a stable environment so that efforts on the firms part to increase its stock of information about (changing) external conditions would be unnecessary. In this light I argue that location theory concentrates on the location of productive activities, and does not view the productive function as one of two main functions of a firm's operation. This second aspect is that of information processing, i.e. enquiring, communicating, and deciding and thereby involves the flow of information, rather than flows of goods. …………………………………..