Distribution of Demand for School Quality: Evidence from Quantile Regression
AbstractOur results show that high-income families place significantly higher value on academic achievement than low-income families. High-income families are also more likely to penalize house price for non-desirable non-academic school quality. This paper uses quantile regression to examine the distribution of demand for school quality. For academic achievement, the average effects as estimated by OLS are biased toward zero due to “aggregation” of families’ willingness to pay. We take advantage of a court-ordered redistricting as a quasi-random assignment of school quality. Subdivision and school fixed-effects are used to control for unobserved characteristics.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 18078.
Date of creation: Oct 2009
Date of revision:
school quality; demand; house price; quantile regression; hedonic equation;
Find related papers by JEL classification:
- I2 - Health, Education, and Welfare - - Education
- R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis
- D1 - Microeconomics - - Household Behavior
- D4 - Microeconomics - - Market Structure and Pricing
- R5 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-10-31 (All new papers)
- NEP-EDU-2009-10-31 (Education)
- NEP-LAB-2009-10-31 (Labour Economics)
- NEP-URE-2009-10-31 (Urban & Real Estate Economics)
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