Harrison, Rubinfeld (1978c) used a hedonic model to find out how house values were affected by air pollution in Boston, when other variables were taken into consideration. Their primary interest was in estimating willingness to pay for cleaner air. They chose to use 506 census tracts as units of...

The integrated nested Laplace approximation (INLA) for Bayesian inference is an efficient approach to estimate the posterior marginal distributions of the parameters and latent effects of Bayesian hierarchical models that can be expressed as latent Gaussian Markov random fields (GMRF). The...