Wasantha Athukorala

The impact of mining and smelting activities on property values: a study of Mount Isa city, Queensland, Australia

Free to read Much publicity has been given to the problem of high levels of environmental contaminants, most notably high blood lead concentration levels among children in the city of Mount Isa because of mining and smelting activities. The health impacts from mining-related pollutants are now well documented. This includes published research being discussed in an editorial of the Medical Journal of Australia (see Munksgaard et al. 2010). On the other hand, negative impacts on property prices, although mentioned, have not been examined to date. This study rectifies this research gap. This study uses a hedonic property price approach to examine the impact of mining- and smelting-related pollution on nearby property prices. The hypothesis is that those properties closer to the lead and copper smelters have lower property (house) prices than those farther away. The results of the study show that the marginal willingness to pay to be farther from the pollution source is AUS

Nondiscretionary residential water use: the impact of habits and water-efficient technologies

13 947 per kilometre within the 4 km radius selected. The study has several policy implications, which are discussed briefly. We used ordinary least squares, geographically weighted regression, spatial error and spatial autoregressive or spatial lag models for this analysis.

IMPACT OF WILDFIRES AND FLOODS ON PROPERTY VALUES: A BEFORE AND AFTER ANALYSIS

Several studies published in the last few decades have demonstrated a low price-elasticity for residential water use. In particular, it has been shown that there is a quantity of water demanded that remains constant regardless of prices and other economic factors. In this research, we characterise residential water demand based on a Stone-Geary utility function. This specification is not only theory-compatible but can also explicitly model a minimum level of consumption not dependent on prices or income. This is described as minimum threshold or nondiscretionary water use. Additionally, the Stone-Geary framework is used to model the subsistence level of water consumption that is dependent on the temporal evolution of consumer habits and stock of physical capital. The main aim of this study is to analyse the impact of water-saving habits and water-efficient technologies on residential water demand, while additionally focusing attention on nondiscretionary uses. This is informed by an empirical application using data from a survey conducted among residents of Brisbane City Council, Australia. The results will be especially useful in the design of water tariffs and other water-saving policies.

Forecasting population changes and service requirements in the regions: a study of two regional councils in Queensland, Australia

One of the most evident casualties of a natural disaster is the property market. The private and social costs from such events run into millions of dollars. In this paper, we use a unique dataset to examine the impact on residential house prices affected by natural disasters using a hedonic property (HP) values approach. For this purpose, we use data before and after a wildfire and floods from Rockhampton in central Queensland, Australia. The data is unique because one suburb was affected by wildfires and another was affected by floods. For the analysis, three suburbs namely Frenchville, Park Avenue and Norman Gardens are used. Frenchville was significantly affected by wildfires in the latter part of 2009 and to a lesser extent in 2012, while Park Avenue was affected by floods at the end of 2010, January 2011–2013. Norman Gardens, which was relatively unaffected, is used as a control site. This enables us to examine the before and after effects on property values in the three suburbs. The results confirm that soon after a natural disaster property prices in affected areas decrease even though the large majority of individual houses remain unaffected. Furthermore, the results indicate that the largely unaffected suburb may gain immediately after a natural disaster but this gain may disappear if natural disasters continue to occur in the area/region due to the stigma created. The results have several important policy decision and welfare implications which are briefly discussed in the paper.

Determinants of Health Costs due to Farmers’ Exposure to Pesticides: An Empirical Analysis

Forecasting population growth to meet the service needs of a growing population is a vexed issue. The task of providing essential services becomes even more difficult when future population growth forecasts are unavailable or unreliable. The aim of this paper is to identify the main methods used in population forecasting and thereby select an approach to demonstrate that such forecasting can be undertaken with certainly and transparency, barring exogenous events. We then use the population forecasts to plan for service needs that arise from changes in population in the future. Interestingly, although there are techniques available to forecast such future population changes and much of this forecasting occurs, such work remains somewhat clouded in mystery. We strive to rectify this situation by applying an approach that is verifiable, transparent, and easy to comprehend. For this purpose we select two regional councils in Queensland, Australia. The experience derived from forecasting shows that forecasts for service needs of larger populations are more easily and accurately derived than for smaller populations. Hence, there is some evidence, at least from a service provision point of view, to justify the benefits of council/municipality amalgamation in recent times in Australia and elsewhere. The methodology used in this paper for population forecasting and the provision of service needs based on such forecasts will be of particular interest to policy decision-makers and planners.