Ease vs. Noise: On the Conflicting Effects of Transportation Infrastructure
Gabriel Ahlfeldt,
Volker Nitsch and
Nicolai Wendland
No 6058, CESifo Working Paper Series from CESifo
Abstract:
Many transport technologies cause a gnot]in]my]backyardh (NIMBY) reaction of locals in that they often oppose the nearby location of necessary infrastructure despite benefiting from greater mobility. We employ quasi]experimental research methods to disentangle the offsetting noise and accessibility effects of one technology of mass transit, metro rail, analyzing land price effects of the opening of the first German electrified metro rail line in Berlin in 1902. Examining a long]run micro]geographic data set, we find that, ceteris paribus, a 1 km reduction in distance from the nearest station increases land prices (house prices) by 21% (5%), while a 10 db increase in noise depreciates land prices (house prices) by 5% (1%). We show that these effects are underestimated by 40% (access) to 80% (noise) if they are not estimated conditional on each other. A complementary analysis of recent property transactions data suggests that preferences for accessibility have remained quite stable over the 20th century, while noise sensitivity increased substantially. The case for constructing underground as opposed to elevated rail lines is therefore stronger today than a century ago.
Keywords: accessibility; noise; land price; difference-in-differences; regression discontinuity (search for similar items in EconPapers)
JEL-codes: N73 N74 R12 R14 R41 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (10)
Downloads: (external link)
https://www.cesifo.org/DocDL/cesifo1_wp6058.pdf (application/pdf)
Related works:
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:ces:ceswps:_6058
Access Statistics for this paper
More papers in CESifo Working Paper Series from CESifo Contact information at EDIRC.
Bibliographic data for series maintained by Klaus Wohlrabe ().