Estimating the Demand for Housing, Land, and Neighbourhood Characteristics

Paul Cheshire and Stephen Sheppard

Oxford Bulletin of Economics and Statistics, 1998, vol. 60, issue 3, 357-82

Abstract: This paper provides estimates of the structure of demand for individual housing and neighborhood characteristics and for land in two British cities. The authors estimate a hedonic price function, and from this obtain the implicit prices of house attributes. These prices are used to estimate a demand system for each city. These perform well, and enable them to calculate price and income elasticities for each of the nondichotomous characteristics and for land. To counteract criticisms of demand estimates derived within the hedonic framework a method is developed for selecting an appropriate set of instrumental variables. Estimates derived from this method, however, differ only slightly from those obtained using the conventional techniques. Several features of these estimates provide insights into the unusual characteristics of the British housing market, the effects of constraints imposed by land use planning, and the effects of changing income distribution on the structure of demand. Copyright 1998 by Blackwell Publishing Ltd

Date: 1998
References: Add references at CitEc
Citations: View citations in EconPapers (74)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Estimating the Demand for Housing, Land, and Neighbourhood Characteristics (1998)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:obuest:v:60:y:1998:i:3:p:357-82

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0305-9049

Access Statistics for this article

Oxford Bulletin of Economics and Statistics is currently edited by Christopher Adam, Anindya Banerjee, Christopher Bowdler, David Hendry, Adriaan Kalwij, John Knight and Jonathan Temple

More articles in Oxford Bulletin of Economics and Statistics from Department of Economics, University of Oxford Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().