A Reconsideration of Hedonic Price Indexes with an Application to Pc's

@article{Pakes2002ARO,
  title={A Reconsideration of Hedonic Price Indexes with an Application to Pc's},
  author={Ariel Pakes},
  journal={Capital Markets: Asset Pricing \& Valuation eJournal},
  year={2002}
}
  • A. Pakes
  • Published 1 January 2002
  • Economics
  • Capital Markets: Asset Pricing & Valuation eJournal
This paper provides a justification for hedonic price indices and details the properties of hedonic price functions. The analysis is done in a market setting in which a finite number of goods, each defined by its characteristics, interact. We note that proper hedonic indices can be constructed from the same data currently used to construct matched model indices. Since the matched model index does not incorporate price changes for goods which exit, and the goods that exited tend to be those… 
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