Abstract: We analyze the impact of wind turbines on house prices, distinguishing between effects of proximity and shadow flicker from rotor blades covering the sun. By utilizing data from 2.4 million house transactions and 6,878 wind turbines in Denmark, we can control for house fixed effects in our estimation. Our results suggest strong negative impacts on house prices, with reductions of up to 12 percent for modern giant turbines. Homes affected by shadow flicker experience an additional decrease in value of 8.1 percent. Our findings suggest a nuanced perspective on the local externalities of wind turbines regarding size and relative location.
Carsten Andersen & Timo Hener
Department of Economics and Business Economics, Aarhus University, Denmark;
Center for Research in Energy: Economics and Markets (CoRE), Aarhus, Denmark;
CESifo Research Network Affiliate, Munich, Germany
Environmental and Resource Economics (11 February 2025), Volume 88, pages 731–759
doi: 10.1007/s10640-024-00947-x