Author Date

2020-04-28

Degree Name

Department

Economics

College

Family, Home, and Social Sciences

Defense Date

2020-04-24

Publication Date

2020-04-28

First Faculty Advisor

Jaren Pope

First Faculty Reader

Christian vom Lehn

Honors Coordinator

John Stovall

Keywords

Wind Turbine, Wind Power, Hedonic, Difference-in-Differences, Illinois, Externalities

Abstract

As the number of wind farms worldwide increases, more and more homeowners will live near them. Some homeowners have found these wind turbines generate noise, obstruct views, and cast shadows on their property. Using data from 10 years of transactions in McLean County, Illinois, I investigate if a wind farm near a neighborhood impacts housing prices. After estimating a simple difference-in-differences model, I find that wind farms may have had a negative effect on home prices. I then discuss how this paper fits in with existing literature and provide suggestions about how further research could proceed.