Many of these attributes are observable, such as the square
footage of the house or the number of bathrooms. In such
cases, we can try to control for these other attribute differences
using cross -sectional regression analysis with control
variables. Indeed, in this context there is a name for such a
strategy: hedonic market analysis. Hedonic market analysis
proceeds by running a regression of house values on each of
the bundle of attributes of housing: distance to town center,
number of bedrooms, number of bathrooms, square footage,
and so on. The notion is that if we control in a regression context
for all of the attributes other than distance, we will essentially
be comparing identical houses in different locations.