The Impact of Housing Market Segmentation between Tourists and Residents on the Hedonic Price for Landscape QualityNils C. SOGUEL (), Marc-Jean Martin () and Alexandre Tangerini Swiss Journal of Economics and Statistics (SJES), 2008, vol. 144, issue IV, pages 655-678 Abstract: Market segmentation is an important issue when estimating the implicit price for an environmental amenity from a surrogate market like property. This paper tests the hypothesis of a segmentation of the housing market between tourists and residents and computes the implicit price for natural landscape quality in Swiss alpine resorts. The results show a clear segmentation between both groups of consumers, although tests also show that the estimated coefficient for landscape is similar in the tourists’ model and in the residents’. However, since the functional form is non linear, the nominal – rather than relative - value of a change in natural landscape quality is higher in the tourist housing market than in the residents’. Hence, considering the segmentation of the market between tourists and residents is essential in order to provide valid estimates of the nominal implicit price of natural landscape quality. Keywords: Hedonic prices method; Market segmentation; Landscape quality; Landscape value; MACBETH (search for similar items in EconPapers) There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: http://EconPapers.repec.org/RePEc:ses:arsjes:2008-iv-6 Access Statistics for this article Swiss Journal of Economics and Statistics (SJES) is edited by Klaus Neusser More articles in Swiss Journal of Economics and Statistics (SJES) from Swiss Society of Economics and Statistics (SSES) |
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