Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5101987 | Journal of Urban Economics | 2017 | 46 Pages |
Abstract
In many countries, wind turbines are constructed as part of a strategy to reduce dependence on fossil fuels. In this paper, we measure the external effect of wind turbines on the transaction prices of nearby houses. A unique Dutch house price dataset covering the period 1985-2011 is used, as well as the exact location of all wind turbines that were built in the Netherlands. Using a difference-in-differences methodology we find a 1.4% price decrease for houses within 2Â km of a turbine. There is also evidence for anticipation effects a few years before placement of a turbine. The effect is larger for taller turbines and in urban areas. Especially the first turbine built close to a house has a negative effect on its price.
Related Topics
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Economics and Econometrics
Authors
Martijn I. Dröes, Hans R.A. Koster,