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Question 1 (2pts): Explain the following terminologies and provide real cases in Ho Chi Minh City to demonstrate your accurate understanding of the terms Firm

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Question 1 (2pts): Explain the following terminologies and provide real cases in Ho Chi Minh City to demonstrate your accurate understanding of the terms Firm clustering Agglomeration Land use planning Bid rent curve Question 2 (2 pts) A local beer brewery named Heart of Darkness is considering its available options to open a new brewery plant in response to a surge in demand for beer in Ho Chi Minh City and neighboring provinces. Its owner happens to know the owner of a winery and often seeks advice from this wise man. The two men met in an afternoon and the following statement came from the winery owner: "You know, most wineries have to be located close to vineyards. I think you should do similarly." After listening to the wise man, the brewery owner returned home and pondered over the options. Should he follow the wise man's advice? Should he not? Why or why not? Question 3 (2 pts) What benefits will incur to firms when they are located near each other? Question 4 (2 pts) Draw a graph, similar to the bid rent curve graph that you have seen in this course, showing the price of office space (per square foot) within a building, with the horizontal axis measuring the (vertical) distance from the street (in meters) for the following cases. a. People walk up and down stairs, and there are no view amenities. b. People ride elevators up and down, and there are no view amenities. c. People ride elevators up and down, and the view is better on higher floors Question 5 (2 pts) Do we need to control the growth of the city or urbanization? Why or Why not

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