On a possible bias in estimates of hedonic price functions
Article Abstract:
Research uncovers a possible theoretical bias in the second step of Rosen's hedonic price approach for analyzing the demand behavior of consumers. The second step sometimes fails to identify the individual's bid-price function or preference structure. The excluded factors cause a serious bias in the estimation of parameters. The simultaneous-equation estimation method does not avoid the bias.
Publication Name: Journal of Urban Economics
Subject: Government
ISSN: 0094-1190
Year: 1989
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A hedonic price model for islands
Article Abstract:
An econometric model is developed to explain differences in island prices that vary across locations with respect to their characteristics. Suggestions reveal that an island price is likely to increase with its size and temperature. As well as islands, which exhibit greater geographical isolation, tend to be more highly valued.
Publication Name: Journal of Urban Economics
Subject: Government
ISSN: 0094-1190
Year: 2003
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