SPATIAL ORGANIZATION AND REGIONAL
PLANNING: SOME HYPOTHESES FOR
ECONOMETRIC ANALYSIS

WALTER (ISARD
Department of Regional Science - University of Pennsvlvania
Philadelphia. Penn. - U.S.A

INTRODUCTION

The objective of this paper is to raise certain fundamental
questions regarding the application of existing econometric and
regional science techniques to the problems of regional planning.
 It is my hope that by raising these questions, J will be
able to stimulate the formulation of hypotheses which can be
tested with new kinds of data. Perhaps these hypotheses may
then lead to more effective theories and techniques with reference
 to comprehensive planning for economic development.
The basic issue which I wish to confront is one which has
been avoided by econometricians and regional scientists. It is:
what are the properties of an optimal spatial allocation of decision-making
 authority, planning functions, and other selected
governmental functions (inclusive of certain aspects of administration)?
 Alternatively, for an hierarchical system of regions,
 what should be the locational distribution of such authority
 and functions? Furthermore, to what extent will the above
spatial allocation affect and be affected by the spatial distri

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