NOISE VERSUS ACCESS - THE IMPACT OF AN AIRPORT IN AN URBAN PROPERTY MARKET

The effects of a major airport are unlikely to exhibit a uniform spati al distribution, The benefits to industries and individual households may extend well beyond the local economy, whereas many of the costs ar e spatially concentrated in the immediate environment, In particular, the problems of noise and traffic generation can be expected to fall p rincipally upon adjacent populations, This paper addresses the general question of whether the costs to local economies of airport proximity , which are in the nature of externalities, outweigh the benefits of a ccess, employment and improved infrastructure, Based on data relating to Manchester airport and its surrounding areas, the specific approach adopted in the paper involves an investigation of the extent to which such proximity effects are capitalised into residential property pric es, Our results provide some evidence to suggest that circumstances ma y exist where positive attributes, such as improved access and employm ent opportunities, may be more highly valued by local residents than t he negative externality effects of airport proximity.