The Effect of the BP Oil Spill on Volume and Selling Prices of Oceanfront Condominiums

摘要

This study examines the impact of the British Petroleum oil spill on the volume of sales and prices of condominiums located in several cities along the Gulf Coast of Alabama. The findings show a 50% decline in sales volume from July through December 2010. Based on the contract date, a 7.0% decline in condominium selling prices occurred about six weeks after the oil spill. The decline is 8.8% from August to the capping of the well on September 19, with no statistically significant price decline thereafter.