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Willingness to pay for water and location bias in hedonic price analysis: evidence from the Indonesian housing market

Yusuf, Arief; Koundouri, Phoebe


Hedonic valuation of quality attributes can be misleading when the assumption that these attributes are exogenous to sample selection is violated. This paper considers the simultaneity between hedonic valuation and sample selection in the context of a model of consumer behavior over packaged goods and investigates empirically how the decision on house location (urban/rural) affects the household's valuation of water-related characteristics of the house in question. The empirical analysis uses...[Show more]

CollectionsANU Research Publications
Date published: 2005
Type: Journal article
Source: Environment and Development Economics
DOI: 10.1017/S1355770X05002548


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