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Vol. 92, No. 3
Posted 2010-05-03

Nonlinear Effects of School Quality on House Prices

by Abbigail Chiodo, Rubén Hernández-Murillo, and Michael T. Owyang

We reexamine the relationship between quality of public schools and house prices and find it to be nonlinear. Unlike most studies in the literature, we find that the price premium parents must pay to buy a house in an area associated with a better school increases as school quality increases.



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