Wooldridge using data from 1988 for houses sold in andover

Reference no: EM13378402

Wooldridge, Using data from 1988 for houses sold in Andover, Massachusetts, from Kiel and McClain (1995), the following equation relates housing price (price) to the distance from a recently built garbage incinerator (dist):
fitted log(price) = 9.40 + 0.312 log(dist)
n = 135, R-squared = 0.162
(i) Interpret the coefficient on log(dist). Is the sign of this estimate what you expect it to be?
(ii) Do you think simple regression provides an unbiased estimator of the ceteris paribus elasticity of price with respect to dist? (Think about the city's decision on
where to put the incinerator.)
(iii) What other factors about a house affect its price? Might these be correlated with distance from the incinerator?

Reference no: EM13378402

Questions Cloud

The marginal product of labor measured in units of output : the marginal product of labor measured in units of output for a firm ismpn a100 - nwhere a measures productivity and n

In a local market the monthly price of internet access : in a local market the monthly price of internet access service decreases from 30 to 20 and the total quantity of

1 the presence of diminishing returns to capital doubling : 1. the presence of diminishing returns to capital doubling the amount of physical capital available for one worker to

Because of the great recession applications to the : because of the great recession applications to the supplemental nutritional assistance program snap soared.the program

Wooldridge using data from 1988 for houses sold in andover : wooldridge using data from 1988 for houses sold in andover massachusetts from kiel and mcclain 1995 the following

Max has a utility function ux y 2xy 1 the prices of x and : max has a utility function ux y 2xy 1. the prices of x and y are both 1 and max has an income of 20.a. how much of

Casper consumes cocoa and cheese cocoa is sold in an : casper consumes cocoa and cheese. cocoa is sold in an unusual way. there is only one supplier and the more cocoa you

Jims utility function is ux y xy jerrys utility function : jims utility function is ux y xy. jerrys utility function is ux y 1000xy 2000. tammys utility function is ux y xy1

Mac rowe doesnt sweat the petty stuff in fact he just : mac rowe doesnt sweat the petty stuff. in fact he just cannot detect small differences. he consumes two goods x and y.

User Account

All Pages