American Housing Survey II

1
American Housing Survey II
2
Data

• Model drives variable selection
• Selection Criteria
• Certain MSAs
• Owners only
• Known metro status
• Known year built
• 103 variables on 21720 observations

3
Data Download

• Go to http//research.umbc.edu/coates/ec611/owner
  _housing.zip
• Unzip the file using Winzip
• Read it into Excel
• Parse it into columns
• Save as tab delimited text

4
Codebook

• Http//research.umbc.edu/coates/ec611/owner_housi
  ng_codebook.html

5
Stata

• Read into Stata
• insheet using your file name
• Be sure you have 103 variables, 21720
  observations

6
Examine the Data

• Sort control famtyp famrel
• note multiple observations per control
• what are famtyp and famrel?
• Summarize data
• several variables are strings
• note minimums and maximums

7
Housing Characteristics

• Goal estimate a hedonic equation for house
  characteristics
• Consider Bedrms, Baths, halfb, kitch, dens,
  dining, famrm, laundry, living, rooms, unitsf,
  lot
• What do you observe?
• Look at maximums and minimums

8
Housing characteristics

• Functional form?
• Does each bedroom contribute equally to value?
• Does each bathroom?
• What about area?
• Price or log price?
• Construction cost or purchase price?

9
Regression

• OLS - lprice as function of house
  characteristics, unitsf and lot
• tabulate characteristics
• tabu varname, gen(varname)
• Sample weights pwpwt