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Accounting for Heterogeneity of Public Lands in Hedonic Property Models

Author

Listed:
  • Charlotte Ham
  • Patricia A. Champ
  • John B. Loomis
  • Robin M. Reich

Abstract

Open space lands, national forests in particular, are usually treated as homogeneous entities in hedonic price studies. Failure to account for the heterogeneous nature of public open spaces may result in inappropriate inferences about the benefits of proximate location to such lands. In this study the hedonic price method is used to estimate the marginal values for proximity to the Pike National Forest. The results indicate that specifying the forest as homogeneous overstates the benefits for homes within two miles relative to specifying the forest based on land use characteristics, because the significant negative effect from noise-intensive activities is omitted.

Suggested Citation

  • Charlotte Ham & Patricia A. Champ & John B. Loomis & Robin M. Reich, 2012. "Accounting for Heterogeneity of Public Lands in Hedonic Property Models," Land Economics, University of Wisconsin Press, vol. 88(3), pages 444-456.
    • Handle: RePEc:uwp:landec:v:88:y:2012:iii:1:p:444-456
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    References listed on IDEAS

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    3. Mariluz Mate‐Sánchez‐Val, 2021. "The impact of geographical positioning on agri‐food businesses' failure considering nonlinearities," Agribusiness, John Wiley & Sons, Ltd., vol. 37(3), pages 612-628, July.
    4. Prabath Nishantha Edirisinghe, "undated". "Are All Shifting Cultivators poor? Evidence from Sri Lanka's Dry zones," Working papers 113, The South Asian Network for Development and Environmental Economics.
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    6. Wen, Lan-jiao & Butsic, Van & Stapp, Jared R. & Zhang, An-lu, 2020. "What happens to land price when a rural construction land market legally opens in China? A spatiotemporal analysis of Nanhai district from 2010 to 2015," China Economic Review, Elsevier, vol. 62(C).
    7. Dupraz, P. & Osseni, A. & Bareille, F., 2018. "Assessing the direct and indirect impacts of breeding activities on residential values: a spatial hedonic approach in Brittany," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 276994, International Association of Agricultural Economists.
    8. Hansen, Winslow D. & Naughton, Helen T., 2013. "The effects of a spruce bark beetle outbreak and wildfires on property values in the wildland–urban interface of south-central Alaska, USA," Ecological Economics, Elsevier, vol. 96(C), pages 141-154.
    9. Fernandez, Mario Andres & Bucaram, Santiago, 2019. "The changing face of environmental amenities: Heterogeneity across housing submarkets and time," Land Use Policy, Elsevier, vol. 83(C), pages 449-460.
    10. Piotr Czembrowski & Edyta Łaszkiewicz & Jakub Kronenberg & Gustav Engström & Erik Andersson, 2019. "Valuing individual characteristics and the multifunctionality of urban green spaces: The integration of sociotope mapping and hedonic pricing," PLOS ONE, Public Library of Science, vol. 14(3), pages 1-16, March.
    11. Reeves, Tyler & Mei, Bin & Siry, Jacek & Bettinger, Pete & Ferreira, Susana, 2020. "Effect of working forest conservation easements on surrounding property values," Forest Policy and Economics, Elsevier, vol. 118(C).
    12. Wen, Lanjiao & Yang, Shenjie & Qi, Mengna & Zhang, Anlu, 2024. "How does China’s rural collective commercialized land market run? New evidence from 26 pilot areas, China," Land Use Policy, Elsevier, vol. 136(C).
    13. Rajapaksa, Darshana & Zhu, Min & Lee, Boon & Hoang, Viet-Ngu & Wilson, Clevo & Managi, Shunsuke, 2017. "The impact of flood dynamics on property values," Land Use Policy, Elsevier, vol. 69(C), pages 317-325.
    14. Peng Wang & Nan Li & Yating He & Youjun He, 2022. "Evaluation of Cultural Ecosystem Service Functions in National Parks from the Perspective of Benefits of Community Residents," Land, MDPI, vol. 11(9), pages 1-26, September.
    15. Rozowski, Casey & Vukina, Tomislav, . "Production Quotas, Competition and Farm Values: A Chronicle of the Swine Industry in North Carolina," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 49(2).
    16. James R. Meldrum, 2016. "Floodplain Price Impacts by Property Type in Boulder County, Colorado: Condominiums Versus Standalone Properties," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 64(4), pages 725-750, August.
    17. Loomis, John & Richardson, Leslie & Dara, Putri Komala & Mueller, Julie & Zabel, Jeffrey & Smalley, Paige & Fitch, Ryan & Nolte, Christoph & Paterson, Robert, 2024. "Ecosystem service values provided by National Parks to residential property owners," Ecological Economics, Elsevier, vol. 220(C).
    18. Laetitia Tuffery, 2016. "The recreational services value of the nearest periurban forest versus the global forest environment," Documents de recherche 16-06, Centre d'Études des Politiques Économiques (EPEE), Université d'Evry Val d'Essonne.
    19. Hansen, Winslow D. & Mueller, Julie M. & Naughton, Helen T., 2014. "Wildfire in Hedonic Property Value Studies," Western Economics Forum, Western Agricultural Economics Association, vol. 13(1), pages 1-14.
    20. Hjerpe, Evan & Kim, Yeon-Su & Dunn, Leah, 2016. "Forest density preferences of homebuyers in the wildland-urban interface," Forest Policy and Economics, Elsevier, vol. 70(C), pages 56-66.

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    More about this item

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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