Some Like It (Less) Hot: Extracting Trade-Off Measures for Physically Coupled Amenities

A-Tier
Journal: Journal of the Association of Environmental and Resource Economists
Year: 2017
Volume: 4
Issue: 4
Pages: 1053 - 1079

Authors (3)

H. Allen Klaiber (not in RePEc) Joshua K. Abbott (not in RePEc) V. Kerry Smith (Arizona State University)

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The urban heat island (UHI) provides direct evidence of human activities contributing to a feedback loop that changes ecosystem services by creating localized warming and differences in vegetated landscapes in areas around the urban core. This paper develops a new spatial-temporal panel estimator to recover consistent estimates of households' valuation of coupled landscape and temperature ecosystem services. Using data from Phoenix, AZ, we estimate a hedonic price function using an extension of the Hausman-Taylor model to overcome challenges associated with the varying spatial scales of capitalization of landscape and temperature variables and omitted variables. We find a positive and economically significant marginal willingness to pay (MWTP) for measures of green landscaping at multiple spatial scales and a separate MWTP for a one degree (F) reduction in outdoor temperatures of $72 monthly.

Technical Details

RePEc Handle
repec:ucp:jaerec:doi:10.1086/692842
Journal Field
Environment
Author Count
3
Added to Database
2026-01-25