IDEAS home Printed from https://ideas.repec.org/a/bla/jregsc/v47y2007i4p665-692.html

Neighborhood Dynamics And Price Effects Of Superfund Site Clean‐Up

Author

Listed:
  • Douglas S. Noonan
  • Douglas J. Krupka
  • Brett M. Baden

Abstract

ABSTRACT Numerous hedonic price analyses estimate price effects associated with hazardous waste site remediation or other environmental variation. This paper estimates a neighborhood transition model to capture the direct price effect from Superfund site clean‐up and the indirect price effects arising from residential sorting and changes in investment in the housing stock following clean‐up. First‐difference models of neighborhood change and a national sample are used. This approach fails to find consistent positive direct price effects. Positive indirect effects, however, may arise through residential sorting and neighborhood investment spurred by remediation. The findings can be sensitive to policy endogeneity and model specification.

Suggested Citation

  • Douglas S. Noonan & Douglas J. Krupka & Brett M. Baden, 2007. "Neighborhood Dynamics And Price Effects Of Superfund Site Clean‐Up," Journal of Regional Science, Wiley Blackwell, vol. 47(4), pages 665-692, October.
    • Handle: RePEc:bla:jregsc:v:47:y:2007:i:4:p:665-692
    DOI: 10.1111/j.1467-9787.2007.00525.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1467-9787.2007.00525.x
    Download Restriction: no
    File URL: https://libkey.io/10.1111/j.1467-9787.2007.00525.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Michael Greenstone & Justin Gallagher, 2008. "Does Hazardous Waste Matter? Evidence from the Housing Market and the Superfund Program," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 123(3), pages 951-1003.
    2. Bayer, Patrick & Keohane, Nathaniel & Timmins, Christopher, 2009. "Migration and hedonic valuation: The case of air quality," Journal of Environmental Economics and Management, Elsevier, vol. 58(1), pages 1-14, July.
    3. Kiel, Katherine A. & Williams, Michael, 2007. "The impact of Superfund sites on local property values: Are all sites the same?," Journal of Urban Economics, Elsevier, vol. 61(1), pages 170-192, January.
    4. Hite, Diane & Chern, Wen & Hitzhusen, Fred & Randall, Alan, 2001. "Property-Value Impacts of an Environmental Disamenity: The Case of Landfills," The Journal of Real Estate Finance and Economics, Springer, vol. 22(2-3), pages 185-202, March-May.
    5. Sudip Chattopadhyay & John B. Braden & Arianto Patunru, 2005. "Benefits Of Hazardous Waste Cleanup: New Evidence From Survey‐ And Market‐Based Property Value Approaches," Contemporary Economic Policy, Western Economic Association International, vol. 23(3), pages 357-375, July.
    6. Banzhaf, H. Spencer & Walsh, Randy, 2006. "Do People Vote with Their Feet? An Empirical Test of Environmental Gentrification," RFF Working Paper Series dp-06-10, Resources for the Future.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yukio Sadahiro & Yan Wang, 2018. "Configuration of sample points for the reduction of multicollinearity in regression models with distance variables," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 61(2), pages 295-317, September.
    2. Douglas S. Noonan, 2008. "Evidence of Environmental Justice: A Critical Perspective on the Practice of EJ Research and Lessons for Policy Design," Social Science Quarterly, Southwestern Social Science Association, vol. 89(5), pages 1153-1174, December.
    3. Taylor, Laura O. & Phaneuf, Daniel J. & Liu, Xiangping, "undated". "Disentangling Property Value Impacts of Environmental Contamination from Locally Undesirable Land Uses: Implications for Measuring Post-Cleanup Stigma," CEnREP Working Papers 264975, North Carolina State University, Department of Agricultural and Resource Economics.
    4. Rüttenauer, Tobias & Best, Henning, 2020. "Perceived Pollution and Residential Sorting in Germany: Income May Not Sort, But it Helps to Escape," SocArXiv wdu2n, Center for Open Science.
    5. Peter M. Schwarz & Gwendolyn L. Gill & Alex Hanning & Caleb A. Cox, 2017. "Estimating The Effects Of Brownfields And Brownfield Remediation On Property Values In A New South City," Contemporary Economic Policy, Western Economic Association International, vol. 35(1), pages 143-164, January.
    6. Walsh, Patrick & Mui, Preston, 2017. "Contaminated sites and information in hedonic models: An analysis of a NJ property disclosure law," Resource and Energy Economics, Elsevier, vol. 50(C), pages 1-14.
    7. Justin Ross & Michael Farmer & Clifford Lipscomb, 2011. "Inconsistency in Welfare Inferences from Distance Variables in Hedonic Regressions," The Journal of Real Estate Finance and Economics, Springer, vol. 43(3), pages 385-400, October.
    8. Boarnet, Marlon G & Bostic, Raphael & Williams, Danielle & Santiago-Bartolomei, Raul & Rodnyansky, Seva & Eisenlohr, Andy, 2017. "Affordable Housing in Transit-Oriented Developments: Impacts on Driving and Policy Approaches," Institute of Transportation Studies, Working Paper Series qt487994z4, Institute of Transportation Studies, UC Davis.
    9. Krupka, Douglas J. & Noonan, Douglas S., 2009. "Empowerment Zones, neighborhood change and owner-occupied housing," Regional Science and Urban Economics, Elsevier, vol. 39(4), pages 386-396, July.
    10. Gamper-Rabindran, Shanti & Timmins, Christopher, 2013. "Does cleanup of hazardous waste sites raise housing values? Evidence of spatially localized benefits," Journal of Environmental Economics and Management, Elsevier, vol. 65(3), pages 345-360.
    11. Krupka, Douglas J. & Noonan, Douglas S., 2009. "Neighborhood Dynamics and the Housing Price Effects of Spatially Targeted Economic Development Policy," IZA Discussion Papers 4308, Institute of Labor Economics (IZA).
    12. Brett Baden & Douglas Noonan & Rama Mohana Turaga, 2007. "Scales of justice: Is there a geographic bias in environmental equity analysis?," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 50(2), pages 163-185.
    13. repec:osf:socarx:wdu2n_v1 is not listed on IDEAS
    14. Recai Aydin & Barton A. Smith, 2008. "Evidence of the Dual Nature of Property Value Recovery Following Environmental Remediation," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 36(4), pages 777-812, December.
    15. Jie Zhuang & Jeffrey G. Cox & Minwoong Chung & Joseph A. Hamm & Adam Zwickle & Brad L. Upham, 2019. "Risk, Stigma, Trustworthiness, and Citizen Participation—A Multifaceted Analysis of Media Coverage of Dioxin Contamination in Midland, Michigan," IJERPH, MDPI, vol. 16(21), pages 1-15, October.
    16. Phaneuf, Daniel J. & Liu, Xiangping, 2016. "Disentangling property value impacts of environmental contamination from locally undesirable land uses: Implications for measuring post-cleanup stigmaAuthor-Name: Taylor, Laura O," Journal of Urban Economics, Elsevier, vol. 93(C), pages 85-98.
    17. Ralph Mastromonaco, 2014. "Hazardous Waste Hits Hollywood: Superfund and Housing Prices in Los Angeles," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 59(2), pages 207-230, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. John Braden & Xia Feng & DooHwan Won, 2011. "Waste Sites and Property Values: A Meta-Analysis," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 50(2), pages 175-201, October.
    2. Karen A. Sullivan, 2017. "Brownfields Remediation: Impact on Local Residential Property Tax Revenue," Journal of Environmental Assessment Policy and Management (JEAPM), World Scientific Publishing Co. Pte. Ltd., vol. 19(03), pages 1-20, September.
    3. Kahn, Matthew E. & Walsh, Randall, 2015. "Cities and the Environment," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 405-465, Elsevier.
    4. Lucas W. Davis, 2008. "The Effect of Power Plants on Local Housing Values and Rents: Evidence from Restricted Census Microdata," Working Papers 0809, Massachusetts Institute of Technology, Center for Energy and Environmental Policy Research.
    5. Song, Jinbo & Nie, Rong & Yuan, Hehui & Gao, Jingxin, 2023. "Does the renovation of waste-to-energy incineration plants attenuate the housing price gradient? Evidence from a quasi-natural experiment in Shenzhen, China," Energy Economics, Elsevier, vol. 120(C).
    6. U.S. Environmental Protection Agency (EPA), 2011. "Handbook on the Benefits, Costs, and Impacts of Land Cleanup and Reuse," Environmental Economics Guidance Documents 348897, United States Environmental Protection Agency (EPA).
    7. Lucija Muehlenbachs & Elisheba Spiller & Christopher Timmins, 2015. "The Housing Market Impacts of Shale Gas Development," American Economic Review, American Economic Association, vol. 105(12), pages 3633-3659, December.
    8. Robert Metcalfe & Sefi Roth, 2025. "Making the Invisible Visible: The Impact of Revealing Indoor Air Pollution on Behavior and Welfare," Framed Field Experiments 00819, The Field Experiments Website.
    9. Banzhaf, H. Spencer & Farooque, Omar, 2013. "Interjurisdictional housing prices and spatial amenities: Which measures of housing prices reflect local public goods?," Regional Science and Urban Economics, Elsevier, vol. 43(4), pages 635-648.
    10. Nicolai V. Kuminoff, 2018. "Can Understanding Spatial Equilibria Enhance Benefit Transfers for Environmental Policy Evaluation?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 69(3), pages 591-608, March.
    11. Can Zou & Jun Tai & Li Chen & Yue Che, 2020. "An Environmental Justice Assessment of the Waste Treatment Facilities in Shanghai: Incorporating Counterfactual Decomposition into the Hedonic Price Model," Sustainability, MDPI, vol. 12(8), pages 1-12, April.
    12. Jeffrey P. Cohen & Cletus C. Coughlin & Jonas C. Crews & Stephen L. Ross, 2020. "The Closing of a Major Airport: Immediate and Longer-Term Housing Market Effects," Working Papers 2020-001, Federal Reserve Bank of St. Louis, revised 19 Jan 2021.
    13. Melstrom, Richard T., 2022. "Residential demand for sediment remediation to restore water quality: Evidence from Milwaukee," Journal of Environmental Economics and Management, Elsevier, vol. 116(C).
    14. Marianne Bléhaut, 2014. "How does a change in risk perception affect the housing market ? Evidence from an industrial accident in France," ERSA conference papers ersa14p1410, European Regional Science Association.
    15. Steve Gibbons & Stephan Heblich & Esther Lho & Christopher Timmins, 2016. "Fear of Fracking? The Impact of the Shale Gas Exploration on House Prices in Britain," SERC Discussion Papers 0207, Centre for Economic Performance, LSE.
    16. Zhaohua Zhang & Derrick Robinson & Diane Hite, 2018. "Racial Residential Segregation: Measuring Location Choice Attributes of Environmental Quality and Self-Segregation," Sustainability, MDPI, vol. 10(4), pages 1-20, April.
    17. Guoying Deng & Manuel A. Hernandez & Shu Xu, 2020. "When Power Plants Leave Town: Environmental Quality and the Housing Market in China," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 77(4), pages 751-780, December.
    18. Recai Aydin & Barton A. Smith, 2008. "Evidence of the Dual Nature of Property Value Recovery Following Environmental Remediation," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 36(4), pages 777-812, December.
    19. Patrick Gourley, 2019. "Social Stigma and Asset Value," Southern Economic Journal, John Wiley & Sons, vol. 85(3), pages 919-938, January.
    20. Carozzi, Felipe, 2020. "The role of demand in land re-development," LSE Research Online Documents on Economics 103690, London School of Economics and Political Science, LSE Library.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:jregsc:v:47:y:2007:i:4:p:665-692. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0022-4146 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.