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Using survey data to study capitalization of local public services

  • Carlsen, Fredrik
  • Langset, Bjørg
  • Rattsø, Jørn
  • Stambøl, Lasse

We use surveys in which respondents evaluate local amenities in Norway to compute proxy variables for the quality of local public services as well as other local amenities relevant to location decisions. Average satisfaction reported by the respondents is computed for each amenity and each municipality, adjusted for sample variation in personal characteristics and included as explanatory variables in a cross-section study of house prices. We find that house prices are increasing in satisfaction with cultural activities, health care, care for the elderly and public transportation.

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Article provided by Elsevier in its journal Regional Science and Urban Economics.

Volume (Year): 39 (2009)
Issue (Month): 6 (November)
Pages: 688-695

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Handle: RePEc:eee:regeco:v:39:y:2009:i:6:p:688-695
Contact details of provider: Web page: http://www.elsevier.com/locate/regec

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