EconPapers    
Economics at your fingertips  
 

Parents, peers, or school inputs: Which components of school outcomes are capitalized into house value?

David Brasington () and Donald Haurin ()

Regional Science and Urban Economics, 2009, vol. 39, issue 5, 523-529

Abstract: Previous research has established that people bid more for houses in high-performing school districts. But what specific factors related to school outcomes influence house prices: the parents, the peers, or the school inputs? We study the extent that house values are affected by each of the components of an education production function. Based on 123 school districts and 26,000 house transactions, we find that parental inputs are the primary component of school outcomes that are capitalized into house prices. In the explanation of variations in house prices, variations in parental characteristics are at least seven times more important than similar variations in the influence of peer groups. We find no influence on house prices from variations in school inputs. This result suggests that land values in a particular community will be increased more by attention to zoning laws that influence the mix of renters to homeowners and the type of households entering a community compared to investing in additional public school inputs.

Keywords: House; prices; Hedonic; model; Capitalization; School; quality; Peer; effects; Parental; inputs (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (19) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0166-0462(09)00049-0
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Parents, peers, or school inputs: Which components of school outcomes are capitalized into house value? (2008) Downloads
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:eee:regeco:v:39:y:2009:i:5:p:523-529

Access Statistics for this article

Regional Science and Urban Economics is currently edited by D.P McMillen and Y. Zenou

More articles in Regional Science and Urban Economics from Elsevier
Bibliographic data for series maintained by Haili He ().

 
Page updated 2021-01-24
Handle: RePEc:eee:regeco:v:39:y:2009:i:5:p:523-529