Exploring the meso-determinants of apartment prices in Polish counties using spatial autoregressive multiscale geographically weighted regression

ABSTRACT

The aim of this study is to identify the meso-determinants of apartment prices in Polish counties using recently developed spatial autoregressive multiscale geographically weighted regression (MGWR-SAR), which can simultaneously deal with spatial dependence, spatial heterogeneity, as well as different spatial scales of modelled processes. Estimation results indicate that MGWR-SAR outperforms other studied models, especially in terms of goodness-of-fit indicators. Moreover, estimates of the above model reveal that relationships between the dependent variable and covariates operate at different spatial scales. Furthermore, among the studied determinants only two, describing unemployment rate and standard of apartments, are significant in all counties.

KEYWORDS:

• Multiscale
• spatial dependence
• housing prices
• heterogeneity
• GWR

JEL CLASSIFICATION:

• C21
• R21
• R31
• R32

Disclosure statement

No potential conflict of interest was reported by the author.

Additional information

Funding

The publication is financed by a subsidy granted to the Cracow University of Economics. [Grant ID: 5/EEN/2020/POT].