Document Type

Report

Publication Date

12-4-2014

Publisher

Brookings Mountain West

First page number:

1

Last page number:

49

Abstract

This paper estimates the effect of gasoline prices on home values and explores the degree to which the relationship varies across a city. Using data from 930,702 home sales in Clark County, Nevada, from 1976 through 2010, we find that gasoline prices have significantly different effects on the sales price of homes in different neighborhoods. A ten percent increase in gasoline prices is associated with changes in location-specific average home values that span a range of over $13,000. This suggests that energy policies may affect household housing wealth via gasoline prices, a heretofore unrecognized distributional outcome.

Keywords

Gas--Prices; Gas industry--Prices; Housing--Prices; Real property

Disciplines

Economics | Economic Theory | Growth and Development | Real Estate

Language

English


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