Property pricing around nuclear power plants : The case of three Swedish counties

Sammanfattning: The purpose of this essay is to perform an empirical test of the hypothesis that distance to an operative nuclear power plant will affect property pricing. The focus is on three counties in Sweden that have nuclear power plants. The hedonic pricing method is employed to fulfill the purpose. This involves an econometric cross-section analysis where the price of a property is assumed to be influenced by various housing characteristics, a distance variable, and time specific effects. The data were provided by Svensk Mäklarstatistik and were collected from the period 2005-2021. The material included information regarding property prices and property characteristics. The results suggest that there is a positive statistical relationship between the level of property prices and the distance to an operative nuclear power plant. However, we only find this relationship for Varberg and Oskarshamn. This result is in some contrast to the findings of a few previous studies.