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A consumer demand approach to estimating the education quality component of housing cost

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  • Sofia N. Andreou
  • Nicoletta Pashourtidou

Abstract

A consumer demand-based approach is proposed for estimating the shadow price of education relative to housing for households with children in state schools. This approach can be used together with or in place of a hedonic approach in countries in which the location of households is not disclosed in publicly available data. An empirical illustration is provided using UK data from the family expenditure surveys.

Suggested Citation

  • Sofia N. Andreou & Nicoletta Pashourtidou, 2013. "A consumer demand approach to estimating the education quality component of housing cost," Applied Economics Letters, Taylor & Francis Journals, vol. 20(4), pages 373-376, March.
  • Handle: RePEc:taf:apeclt:v:20:y:2013:i:4:p:373-376
    DOI: 10.1080/13504851.2012.705421
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    References listed on IDEAS

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    1. Sandra E. Black, 1999. "Do Better Schools Matter? Parental Valuation of Elementary Education," The Quarterly Journal of Economics, Oxford University Press, vol. 114(2), pages 577-599.
    2. David Brasington & Donald R. Haurin, 2006. "Educational Outcomes and House Values: A Test of the value added Approach," Journal of Regional Science, Wiley Blackwell, vol. 46(2), pages 245-268.
    3. Fack, Gabrielle & Grenet, Julien, 2010. "When do better schools raise housing prices? Evidence from Paris public and private schools," Journal of Public Economics, Elsevier, vol. 94(1-2), pages 59-77, February.
    4. Gibbons, Steve & Machin, Stephen, 2003. "Valuing English primary schools," Journal of Urban Economics, Elsevier, vol. 53(2), pages 197-219, March.
    5. Bogart, William T. & Cromwell, Brian A., 2000. "How Much Is a Neighborhood School Worth?," Journal of Urban Economics, Elsevier, vol. 47(2), pages 280-305, March.
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