scholarly journals New Characteristics and Hedonic Price Index Numbers

2021 ◽  
pp. 1-49
Author(s):  
Ian Crawford ◽  
J. Peter Neary
Keyword(s):  
Price Index ◽  
Extensive Margin ◽  
Hedonic Price ◽  
Quality Change ◽  
Commodity Group ◽  
Index Numbers ◽  
Significant Bias ◽  
Inflation Rates ◽  
Car Sales ◽  
Standard Techniques

Abstract Changes in product characteristics on the extensive margin (the addition of new features and the removal of old ones) are an important and hitherto neglected dimension of quality change. Standard techniques for adjusting price indices for new goods cannot handle such changes satisfactorily, and this leads to an economically and statistically significant bias in the measurement of prices and real output. We combine insights from the theories of exact index numbers and demand for characteristics to develop a new method for incorporating changes on the extensive characteristic margin. Applied to U.K. data on new car sales, our method leads to revisions in estimated inflation rates for this commodity group that are both plausible and quantitatively important.

scholarly journals Repeat Assessed Values Model for Housing Price Index

2017 ◽  
Vol 25 (4) ◽  
pp. 25-39 ◽  
Author(s):  
Manuela Carini ◽  
Marina Ciuna ◽  
Manuela De Ruggiero ◽  
Francesca Salvo ◽  
Marco Simonotti
Keyword(s):  
Real Estate ◽  
Price Index ◽  
Methodological Approach ◽  
Housing Price ◽  
Time Range ◽  
Repeat Sales ◽  
Hedonic Price ◽  
Index Numbers ◽  
Housing Price Index ◽  
Innovative Methodology

Abstract This study proposes an innovative methodology, named Repeat Appraised Price Model (RAV), useful for determining the price index numbers for real estate markets and the corresponding index numbers of hedonic prices of main real estate characteristics in the case of a lack of data. The methodological approach proposed in this paper aims to appraise the time series of price index numbers. It integrates the principles of the method of repeat sales with the peculiarities of the Hedonic Price Method, overcoming the problem of an almost total absence of repeat sales for the same property in a given time range; on the other hand, the technique aims to overcome the limitation of the repeat sales technique concerning the inability to take into account the characteristics of individual properties.

scholarly journals Construction Of Hedonic Price Index For The “Most Liquid” Polish Painters

2014 ◽  
Vol 14 (2) ◽  
pp. 76-100
Author(s):  
Krzysztof Kompa ◽  
Dorota Witkowska
Keyword(s):  
Price Index ◽  
Art Market ◽  
Alternative Form ◽  
Expected Returns ◽  
Hedonic Price ◽  
Single Model ◽  
Quality Adjustment ◽  
Good Investment ◽  
Hedonic Quality ◽  
Hedonic Index

Abstract Art market has been developing in Poland and the first Art Fund was established in 2011. Therefore it seems that investment in art can be considered as alternative form by Polish investors. In order to decide whether art is a good investment, it is necessary to evaluate expected returns which might be obtained from such investment thus an art price index should be developed. The aim of the paper is to discuss artworks as investment assets and evaluate price index of paintings produced by 11 Polish artists whose artworks were traded the most often on auctions that were held in Poland in the years 2007–2010. In our research, employing data concerning 750 objects, we apply the hedonic index methodology to estimate returns from the paintings market. The results of our investigation show that hedonic quality adjustment essentially influences evaluation of artwork prices therefore we propose the aggregated hedonic index which might better describe situation at the art market than the hedonic index biased by the specification of a single model.

Pricing IaaS: A Hedonic Price Index Approach

2017 ◽  
pp. 18-28 ◽  
Author(s):  
Persefoni Mitropoulou ◽  
Evangelia Filiopoulou ◽  
Mara Nikolaidou ◽  
Christos Michalakelis
Keyword(s):  
Price Index ◽  
Hedonic Price ◽  
Index Approach

scholarly journals A RESEARCH PAPER ON A STUDY ON PRICE INDICES METHODS IN INDIA

2018 ◽  
Vol 1 (2) ◽  
pp. 15-25
Keyword(s):  
Price Index ◽  
Economic Conditions ◽  
Price Indices ◽  
Index Numbers ◽  
Price Changes ◽  
Price Fluctuations ◽  
The Real ◽  
The World ◽  
True Position ◽  
Scientific Tool

It is expected that the price index numbers which are universally used as the scientific tool of measures of price changes all over the world must reflect the real and true position of prices in economy every time since they are the only arithmetic source of measuring the price fluctuations and economic fluctuations thereby. But unfortunately, they do not seem to fulfill these expectations fully especially in India. Many times it has happened that price index numbers have failed in reflecting real economic conditions through price changes. So, this research is attempt to study all the different price indices model and try to find out the effective way out.

scholarly journals Inflation and Price Escalation Adjustments in Estimating Program Cost: F-35 Case Study

2020 ◽  
Vol 27 (92) ◽  
pp. 194-217
Author(s):  
Stanley Horowitz ◽  
Bruce Harmon
Keyword(s):  
Price Index ◽  
Hedonic Price ◽  
Cost Estimating ◽  
Program Cost ◽  
Defense Systems ◽  
Price Indexes ◽  
Acquisition Costs ◽  
Using Data ◽  
Price Escalation

Applying price indexes presents a challenge in estimating the costs of new defense systems. An inappropriate price index—one not closely linked to the inputs to the systems being costed—can introduce errors in both development of cost estimating relationships (CER) and in development of out-year budgets. To help cost analysts understand the impacts of different price indexes, this article applies two sets of price indexes to the F-35 program. Using hedonic price indexes derived from CERs, the authors isolate changes in price due to factors other than changes in quality by developing a “Baseline” CER model using data on historical tactical aircraft programs available early in the F-35 program. The focus of the work is to improve estimates of acquisition costs. All the data used in the econometric analysis are acquisition cost data. Better cost estimates should improve projections of budget requirements.

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