International Business Environments and Operations 16th Global Edition test b...
Noise pollution suvarnabhumi airport
1. Economic Valuation of Noise Pollution from the Suvarnabhumi Airport Using Home Value under Hedonic Pricing Method Prepared by Pisit Puapan and Pat Pattanarangsun
2. Contents Introduction and Background 1 Hedonic Pricing Method 2 Methodology 3 Results and Conclusion 4
12. Hedonic Pricing Method “ Revealed Preference” Hedonic Property Value Model Valuation through prices of properties, houses and land HPM Hedonic Wage Model Valuation through wages of workers
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14. Property Value Model Welfare Change (Non-marginal) Demand Function Hedonic Price Function Data Welfare Measurement 2 nd Stage Hedonic 1 st Stage Hedonic Data Collection
15. Methodology Model Regression Data 1.Types - Cross-section Data - during Q1of 2008 - around Suvarnabhumi 2.Sources - organizations - websites - books - phone interview ( 1 st Stage ) 1. Dependent Var. - prices of houses 2.Independent Var. - attributes - envi variables - community variables 3.Functional Form - Semi Log (Log-lin) 1.Estimation Method - OLS by EViews 2.Tests - Classical Assumptions for OLS (CLRM) 3.Model comparison - signs - t-Stat - R 2
33. Variables Descriptions Definition Units Expected Sign P Sale price Baht N/A LOT Total land area Square Wa + AREA Total living space Square Meters + FLOOR Number of floors floors + BATH Number of Bathrooms rooms + BED Number of Bedrooms rooms + CAR Garage space cars + DIS Distance to Suvarnabhumi airport kilometers +/- D1 1 if located in noise contour, 0 if not 0/1 - D2 1 if townhouse, 0 if single house 0/1 -
34. Descriptive Statistics Mean Median Max Min Std.Dev P 4040909 3860000 12790000 820000 2784737.3 LOT 68.64 57 287 15 56.85 AREA 335.23 288 1148 50 240.05 FLOOR 1.977 2 3 1 0.46 BATH 2.114 2 4 1 0.75 BED 2.591 2 6 2 1.00 CAR 1.477 2 4 0 0.95 DIS 12.682 12 32 7 4.89 D1 No. of “0” = 28 and No. of “1” = 16 D2 No. of “0” = 30 and No. of “1” = 14
54. Conclusion 1 The model used for house pricing in this stydy is 2 Noise problem from Suvarnabhumi airport can be reflected from a difference between prices of houses inside and outside noise contour 1103370 Baht 3 Other attributes which may not be valued directly or easily can be determined by the calculation of marginal prices from hedonic price function in the 1 st stage. ln(P) = 13.82 + 0.009LOT + 0.31FLOOR + 0.27BATH – 0.18BED – 0.27D1– 0.19D2