Comparison of Urban Premiums (in Dollars) before and after the Housing Market Bust
| Whole Sample | <10 miles | 10–20 miles | 30–60 miles | |||||
|---|---|---|---|---|---|---|---|---|
| Boom | Bust | Boom | Bust | Boom | Bust | Boom | Bust | |
| Panel A: Census Tract Fixed-Effects Model | ||||||||
| Total urban premium | 1,947 (1,086) | 1,021 (579) | 2,993 (1,493) | 1,670 (739) | 2,258 (1,006) | 1,350 (635) | 1,158 (465) | 669 (281) |
| 1. Miles to nearest city center | 1,374 (727) | 571 (279) | 2,185 (865) | 951 (312) | 1,631 (600) | 741 (252) | 721 (322) | 351 (140) |
| 2. Incremental distance to second-nearest city center | 284 (199) | 85 (54) | 255 (294) | 75 (61) | 268 (217) | 70 (61) | 308 (122) | 104 (45) |
| 3. Surrounding urban population | 231 (231) | 368 (320) | 390 (328) | 662 (404) | 294 (246) | 541 (399) | 112 (95) | 215 (140) |
| 4. Gravity index | 59 (93) | 2 (39) | 165 (183) | 17 (133) | 66 (66) | 2 (2) | 17 (12) | 1 (1) |
| Number of observations | 9,079 | 1,517 | 1,293 | 128 | 2,854 | 406 | 2,044 | 478 |
| Panel B: Spatial Error Model | ||||||||
| Total urban premium | 2,042 (1,118) | 1,106 (791) | 3,194 (1,457) | 2,034 (852) | 2,387 (1,045) | 1,554 (895) | 1,203 (455) | 669 (392) |
| 1. Miles to nearest city center | 1,388 (789) | 552 (512) | 2,316 (866) | 1,176 (455) | 1,679 (665) | 801 (551) | 683 (351) | 289 (319) |
| 2. Incremental distance to second-nearest city center | 339 (220) | 94 (56) | 290 (325) | 80 (65) | 317 (240) | 79 (65) | 376 (133) | 113 (42) |
| 3. Surrounding urban population | 250 (227) | 462 (372) | 410 (309) | 793 (471) | 319 (242) | 676 (455) | 124 (92) | 267 (149) |
| 4. Gravity index | 64 (98) | 2 (34) | 178 (194) | 15 (118) | 72 (67) | 2 (1) | 19 (12) | 1 (1) |
| Number of observations | 8,890 | 1,484 | 1,281 | 126 | 2,796 | 401 | 2,003 | 465 |
Note: The values of miles to nearest city center, incremental distance to second-nearest city, and gravity index after 2008 are included in the calculation of the urban premium, although their corresponding coefficients are not significant at the 10% level. <10 miles, 10–20 miles, and 30–60 miles are the distance from a farmland parcel to the nearest city center. Standard deviations are in parentheses.