A Repeat Sales Analysis of the Impact of Multiple Environmental Goods on House Prices: St. Louis as a Case Study

Estimating the benefits of environmental regulations can be very difficult. Since environmental goods are generally not traded in markets, prices and quantities are not directly observed. However, researchers can used revealed preference techniques to uncover the prices individuals implicitly pay for such goods. This paper addresses two interesting questions. It studies the impact of including (or excluding) mulplitle environmental indicators in repeat sales regressions. It also considers the possibility that environmental indicators are highly correlated with each other (an environmental justice issue) which makes standard hedonic estimation difficult.