4-8 2 A Regression Example: Hedonic House pricing Models Hedonic models are used to value real assets especially housing and view the asset as representing a bundle of characteristics Des rosiers and Therialt (1996)consider the effect of various amenities on rental values for buildings and apartments 5 sub-markets in the Quebec area of canada. The rental value in Canadian Dollars per month (the dependent variable)is a function of 9 to 14 variables (depending on the area under consideration). The paper employs 1990 data, and for the Quebec city region, there are 13, 378 observations, and the 12 explanatory variables are:4-8 2 A Regression Example: Hedonic House Pricing Models • Hedonic models are used to value real assets, especially housing, and view the asset as representing a bundle of characteristics. • Des Rosiers and Thérialt (1996) consider the effect of various amenities on rental values for buildings and apartments 5 sub-markets in the Quebec area of Canada. • The rental value in Canadian Dollars per month (the dependent variable) is a function of 9 to 14 variables (depending on the area under consideration). The paper employs 1990 data, and for the Quebec City region, there are 13,378 observations, and the 12 explanatory variables are: