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Monetarizing Spillover Effects of Soil and Groundwater Contaminated Sites in Taiwan: How Much More Will People Pay for Housing to Avoid Contamination?

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  • Je‐Liang Liou
  • Alan Randall
  • Pei‐Ing Wu
  • Han‐Huei Chen

Abstract

This study monetizes spillover effects of soil and groundwater contaminated sites using a quantile hedonic price model for different site types in Taoyuan City in Taiwan, which has 1664 sites, the highest number for any city in Taiwan. The results show that except for those living in the cheapest housing, most residents are willing to pay a higher price to live farther away from contaminated sites. Farmland makes up the largest share of the total contaminated site area and has the highest per square monetary spillover effects in Taoyuan City; remediation of farmland is one of the most urgent missions for the city. Overall, a NIMBY effect is found to exist for soil‐ and groundwater‐contamination in this city.

Suggested Citation

  • Je‐Liang Liou & Alan Randall & Pei‐Ing Wu & Han‐Huei Chen, 2019. "Monetarizing Spillover Effects of Soil and Groundwater Contaminated Sites in Taiwan: How Much More Will People Pay for Housing to Avoid Contamination?," Asian Economic Journal, East Asian Economic Association, vol. 33(1), pages 67-86, March.
    • Handle: RePEc:bla:asiaec:v:33:y:2019:i:1:p:67-86
    DOI: 10.1111/asej.12169
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    Cited by:

    1. Ming-Yi Huang, 2023. "Analyzing the effects of green building on housing prices: case study of Kaohsiung, Taiwan," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(2), pages 1205-1235, February.
    2. Pei-Ing Wu & Ching-En Su & Je-Liang Liou & Ta-Ken Huang, 2023. "Evaluation of the Contribution of Farmland Attributes to the Total Benefit from Its Contamination Remediation: Evidence from Taiwan," Land, MDPI, vol. 12(5), pages 1-22, April.

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