Valuing Noise Level Reductions in a Residential Location Context

This study uses a stated preference experiment to estimate the willingness-to-pay for reducing noise levels in a group-based urban residential location context. The experiment considers variations in travel time to work, monthly house rent, sun orientation of the dwelling and subjective noise level inside it; objective noise levels are also measured after the experiment. Multinomial and mixed logit models are estimated based on a consistent microeconomic framework, including non-linear utility functions and allowing for various stratifications of the data. The more flexible models allow for the treatment of repeated observations problem common to stated preference data and provide a better fit to the data, although willingness-to-pay results remain almost invariant. In terms of design, the findings indicate that residential location is an appropriate experimental framework and that the variable metric for noise level was clearly understood by the participants. The statistical design also was able to represent the respondents' preferences for the variables included in the experiment. Results from the application of the technique to an urban area in Chile showed that individual households do not necessarily have linear utility functions. Not only are several interaction terms significant, but the introduction of additional variables affects the coefficients of the main-effects variables.

Language

  • English

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 01002686
  • Record Type: Publication
  • Files: TRIS, ATRI
  • Created Date: Jul 31 2005 10:06AM