Robert Murdock has provided research assistance. Four referees and participants in seminars at the University of Chicago, the University of Minnesota, Oregon State University, and the University of Wyoming supplied comments that improved the paper.
THE EXCHANGEABILITY OF HEDONIC PROPERTY PRICE STUDIES*
Article first published online: 28 JUL 2006
Journal of Regional Science
Volume 32, Issue 2, pages 169–183, May 1992
How to Cite
Atkinson, S. E. and Crocker, T. D. (1992), THE EXCHANGEABILITY OF HEDONIC PROPERTY PRICE STUDIES. Journal of Regional Science, 32: 169–183. doi: 10.1111/j.1467-9787.1992.tb00177.x
- Issue published online: 28 JUL 2006
- Article first published online: 28 JUL 2006
- Received September 1990; revised August and November 1991; accepted November 1991.
ABSTRACT. Observations drawn from multiple markets are essential to the construction of indices of housing costs and to measures of demand for housing attributes. It is not evident when multiple markets exist or whether such markets exist for some attributes but not for others. We test for multiple markets by using Bayesian methods to assess the transferability (random exchangeability) of entire hedonic price expressions from one site and time to another, the transferability of hedonic price functions for particular attributes, and the degrees of similarity that hedonic price functions must have in order to be transferable. In our illustrations, price functions for structural housing attributes are generally transferable; prices for neighborhood attributes are not. Therefore, in our illustrations, the desired price indices and demand functions should be estimable for neighborhood attributes, but not for structural ones.