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Regional variations in the price of building land: a spatial econometrics approach for West Germany

Möller, Joachim



Abstract

In this paper we analyze the enormous variation in the price of building land across West German regions. We outline a theoretical model that ties a household's willingness to pay for building land to the inter-temporal value of employment. Using data for NUTS~3 regions the theoretically derived impact of labor market variables and other influences is investigated. We show that spatial dependence ...

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