3
The amounts are in pesetas since dwelling prices were expressed in pesetas. The sample was collected before the Euro came
into force. The value of 1 is 166.386 pesetas; to simplify the
change, 1000 pesetas equals 6.
4
This last factor might be considered surprising but it is necessary to bear in mind that the price of housing is determined by
other factors beside those considered here.Palmquist (1984), for
example, found that the neighbourhood’s socioeconomic characteristics were significant in the equation of prices that he estimated
for seven cities in the United States. In our case, the houses included in the sample are not well equipped and are located in the
inner city rather than in luxury residential districts.