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An analysis of the impact of swine CAFOs on the value of nearby houses

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  • Hans R. Isakson
  • Mark D. Ecker

Abstract

The impact of 39 swine confined or concentrated animal feeding operations (CAFOs) in Black Hawk County, Iowa on 5,822 house sales is explored by introducing a new variable that more accurately captures the effects of prevailing winds, exploring potential adverse effects within concentric circles around each CAFO, managing selection bias, and incorporating spatial correlation into the error term of the empirical model. Large adverse impacts suffered by houses that are within 3 miles and directly downwind from a CAFO are found. Beyond 3 miles, CAFOs have a generally decreasing adverse impact on house prices as distance to the CAFO increases.

Suggested Citation

  • Hans R. Isakson & Mark D. Ecker, 2008. "An analysis of the impact of swine CAFOs on the value of nearby houses," Agricultural Economics, International Association of Agricultural Economists, vol. 39(3), pages 365-372, November.
    • Handle: RePEc:bla:agecon:v:39:y:2008:i:3:p:365-372
    DOI: 10.1111/j.1574-0862.2008.00339.x
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    References listed on IDEAS

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    4. Robert A. Simons & Jesse D. Saginor, 2006. "A Meta-Analysis of the Effect of Environmental Contamination and Positive Amenities on Residential Real Estate Values," Journal of Real Estate Research, American Real Estate Society, vol. 28(1), pages 71-104.
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    Cited by:

    1. Zach Raff & Andrew Meyer, 2022. "CAFOs and Surface Water Quality: Evidence from Wisconsin," American Journal of Agricultural Economics, John Wiley & Sons, vol. 104(1), pages 161-189, January.
    2. Victor De Oliveira, 2013. "Poisson Kriging," Working Papers 0166mss, College of Business, University of Texas at San Antonio.
    3. Chad Lawley, 2021. "Hog Barns and Neighboring House Prices: Anticipation and Post‐Establishment Impacts," American Journal of Agricultural Economics, John Wiley & Sons, vol. 103(3), pages 1099-1121, May.
    4. Qinna Zhao & Robert A. Simons & Zhong Fen, 2016. "The Effect of Three Incineration Plants on Residential Property Values in Hangzhou, China," International Real Estate Review, Global Social Science Institute, vol. 19(4), pages 515-546.

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