Document Type
Article
Date of Original Version
2015
Abstract
This paper examines the local impacts of shale gas development (SGD). We use a hedonic framework and exploit a discrete change in expectations about SGD caused by the New York State moratorium on hydraulic fracturing. Our research design combines difference-in-differences and border discontinuity, as well as underlying shale geology, on properties in Pennsylvania and New York. Results suggest that New York properties that were most likely to experience both the financial benefits and environmental consequences of SGD dropped in value 23% as a result of the moratorium, which under certain assumptions indicates a large and positive net valuation of SGD.
Publication Title, e.g., Journal
Journal of Environmental Economics and Management
Citation/Publisher Attribution
Boslett, A., Guilfoos, T., & Lang, C. (2015). Valuation of Expectations: A Hedonic Study of Shale Gas Development and New York's Moratorium. Journal of Environmental Economics and Management, 77(2016), 14-30.
Available at: http://www.dx.doi.org/10.1016/j.jeem.2015.12.003
Author Manuscript
This is a pre-publication author manuscript of the final, published article.
Terms of Use
This article is made available under the terms and conditions applicable
towards Open Access Policy Articles, as set forth in our Terms of Use.