Many empirical studies challenged the parametric approach to estimate nonlinear house price models and to use instead nonparametric or semiparametric model specifications. In the area of environmental analysis using house price models, Stock (1991) and McMillen and Thorsen (2000) applied semi-parametric models to estimate the impact of hazardous wastes on house prices. Furthermore, estimating nonparametricaly house price models is gaining now additional momentum because Ekeland et al. (2002) provided a theoretical justification to use such an empirical approach to estimate hedonic price models. The objective of this paper is to assess the impact of agricultural pollution in a livestock intensive region of France using alternative non-parametric and semi-parametric hedonic price models. We propose a two stage estimation procedure were the first step is based on the partially linear model introduced by Robinson (1988). In the second step, once the parametric part of the model has been estimated on the house characteristics, we propose four specifications for the remaining functional form on the environmental variables. A parametric, a fully nonparametric, an additive, and a single index specifications are proposed and estimated using appropriate econometric procedures similar to those developed by Horowitz and Lee (2001), Iwata et al. (2000) and Robinson (1988). The performances of these models are examined, compared with respect to the benchmark nonparametric model and specification tests are proposed.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2005 Annual meeting, July 24-27, Providence, RI with number
19547.
Length: Date of creation: 2005 Date of revision: Handle: RePEc:ags:aaea05:19547
Contact details of provider: Postal: 555 East Wells Street, Suite 1100, Milwaukee, Wisconsin 53202 Phone: (414) 918-3190 Fax: (414) 276-3349 Email: Web page: http://www.aaea.org More information through EDIRC
For technical questions regarding this item, or to correct its listing, contact: (AgEcon Search).
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.: