Aviation Discontinuity and Regional House Prices: A Quasi-Experiment in New Zealand

Thanh Ngo

International Journal of the Economics of Business, 2025, vol. 32, issue 1, 67-90

Abstract: Although there is evidence that more regional airport activities can increase regional house prices, no study has examined the relevant impacts of aviation discontinuity. My unique quasi-experiment data comes from New Zealand where Jetstar withdrew its domestic services from four airports/regions in December 2019. The synthetic control method (SCM)'s results reveal that the withdrawal created different impacts on the house prices of the regions involved, in which the overall effect was negative in the short run but the housing market in New Zealand has recovered in the long run.

Date: 2025
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DOI: 10.1080/13571516.2024.2412448

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