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How Much do Public Schools Really Cost? Estimating the Relationship between House Prices and School Quality

Davidoff, Ian; Leigh, Andrew


This paper investigates the relationship between housing prices and the quality of public schools in the Australian Capital Territory. To disentangle the effects of schools and other neighbourhood characteristics on the value of residential properties, we compare sale prices of homes on either side of high school attendance boundaries. We find that a 5 percentage point increase in test scores (approximately 1.SD) is associated with a 3.5 per cent increase in house prices. Our result is in line...[Show more]

CollectionsANU Research Publications
Date published: 2008
Type: Journal article
Source: The Economic Record
DOI: 10.1111/j.1475-4932.2008.00462.x


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