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Bedroom increase the value of a house

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Reference no: EM131294898

Go to https://www.zillow.com/research/data/ and download Zillow Home Value Index (ZHVI) for "1 Bedroom Homes" "2 Bedroom Homes" "3 Bedroom Homes" "4 Bedroom Homes" and "5+ Bedroom Homes" under "State" and save them in your Remote Desktop. Copy and paste the attached commands in your Stata, but change "mkuroki" to your username.

Historically, by how much does one extra bedroom increase the value of a house? Run the following two specifications. Please be very careful about your interpretation. Answers without work shown will receive zero credit. Regression without any interpretation will result in zero credit.

1. Bedroom as a continuous variable, with 50 state dummy variables.

2. Bedroom as dummy variables with 50 dummy state variables.

Reference no: EM131294898

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