The paper discusses the choice of an appropriate dependent variable in hedonic price models estimating the effect of induced earthquakes in Groningen. Ideally, a latent variable would be preferred. As a substitute, an indicator is selected from a range of physical variables, determined by calculated peak ground velocities with specific thresholds. It is argued that the selection of the most appropriate threshold value should not be based on technical considerations, but on its correlation with the level of reported damages. That is because prior research indicated that damage is the most important factor for prospective buyers considering the acquisition of a house in the area at risk.
|Vertaalde titel van de bijdrage||Determination of an indicator for the devaluation of houses caused by earthquakes in Groningen: A secondary analysis of the relationship between physical indicators and reported damage, and a pragmatic method for estimating the devaluation calculating for calculation of |
|Plaats van productie||Groningen|
|Uitgeverij||Rijksuniversiteit Groningen. Faculteit Ruimtelijke Wetenschappen|
|Status||Published - 30-apr-2021|
|Naam||URSI Research Report|