From Central Planning to Centrality: Krakow's Land Prices After Poland's Big Bang
We examine commercial land markets in Krakow, Poland over a 10-year period of transition from socialist management to a market economy. We explore the spatial and temporal evolution of land prices over this period. In particular, we are interested in identifying trends toward or away from centrality, and in discovering whether or not these trends acted on the city center alone or over a set of centers. The data set we employ is uniquely appropriate for this purpose as the densifying force of "highest-and-best" use-typically found in market-oriented cities-was absent under four decades of socialist planning, leaving undeveloped land scattered throughout the city. Free of quality control issues associated with disentangling the value of land from properties in which land and structures are bundled, the data offer a clean assessment of land prices within an urban area. We employ a novel, iterative approach to identify pricing centers-"nodes" of similarly sized residuals-which we interpret as evidence of omitted spatial amenities. Using this approach, we find that the price gradient in Krakow evolved toward concentration, but concentration in several centers rather than in just one. We find that the exclusion of proximity to these centers leads to biased coefficients in the hedonic regressions; we also find that the majority of the apparent spatial autocorrelation in the aspatial regressions results from the omission of proximity to these centers. Copyright 2005 by the American Real Estate and Urban Economics Association
If you experience problems downloading a file, check if you have the proper application to view it first. 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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 33 (2005)
Issue (Month): 2 (06)
|Contact details of provider:|| Postal: Indiana University, Kelley School of Business, 1309 East Tenth Street, Suite 738, Bloomington, Indiana 47405|
Phone: (812) 855-7794
Fax: (812) 855-8679
Web page: http://www.blackwellpublishing.com/journal.asp?ref=1080-8620
More information through EDIRC
|Order Information:||Web: http://www.blackwellpublishing.com/subs.asp?ref=1080-8620|
When requesting a correction, please mention this item's handle: RePEc:bla:reesec:v:33:y:2005:i:2:p:269-297. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing)or (Christopher F. Baum)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.