Willingness to Pay for Hospital Access in Areas with High Concentrations of Blacks
David Christafore and
Susane Leguizamon
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David Christafore: University of California, Riverside
Susane Leguizamon: Western Kentucky University
The Review of Regional Studies, 2015, vol. 45, issue 1, 87-104
Abstract:
We estimate the willingness to pay (WTP) of individuals to have increased spatial access to hospitals using a spatial hedonic price model. Employing a dataset of 6,093 observations at the census block group level, we find that the WTP of individuals to live one mile closer to a hospital is positive if the hospital is a designated public hospital, lower for private hospitals, and insignificant for nonprofit hospitals. Areas comprised of a relatively large population of black residents value spatial access significantly more and, for higher concentrations, exhibit a positive WTP for all hospital types. This is likely due to increased transportation costs of individuals in minority areas.
Keywords: health care; housing markets; cost-benefit analysis (search for similar items in EconPapers)
JEL-codes: I11 I18 R53 (search for similar items in EconPapers)
Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:rre:publsh:v45:y:2015:i:1:p:87-104
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