2007 Reports

Simultaneous Estimation of Hedonic Equations with Unbalanced Data

Mueller, Valerie A.; Sheriff, Glenn

Hedonic non-market valuation often requires estimating housing and labor market regressions. The authors show how to accommodate unbalanced data in hedonic regressions. In addition to efficiency gains, the method allows consistent estimation of confidence intervals for amenity values. The paper illustrates by estimating the implicit price of a temperature increase in urban Brazil.