# A Data-Driven Analysis on the Impact of High-Speed Rails on Land Prices in Taiwan
## 4 Data-Driven Analysis
\begin{table}
\begin{tabular}{c c c c} \hline \hline
**Notations** & **Variables** & **Expected** & **Rationales** \\ \hline _ULPI_ & Urban Land Price Index & & (Dependent Variable) \\ \hline \multirow{2}{*}{_HSR_} & Existence of High-Speed & \multirow{2}{*}{+} & Higher connectivity should attract more demand for residences/business, \\  & Rail Station & & thus driving land prices up \\ \hline \multirow{2}{*}{_HS1_} & Housing Price to Income & \multirow{2}{*}{–} & When the HSI ratio increases, people are less able to afford houses, thus \\  & Ratio & & demand falls, causing the land prices to fall \\ \hline _GenPop_ & General Population & + & Population increase \(\rightarrow\) More demand \(\rightarrow\) Land prices increase \\ \hline _UnEmp_ & Unemployment Rate & \multirow{2}{*}{–} & Higher Unemployment \(\rightarrow\) Fewer people can afford housing \(\rightarrow\) Land prices decrease \\ \hline _CP1_ & Consumer Price Index & + & Inflation leads to land prices increase \\ \hline _Forex_ & Exchange Rate & + & Higher exchange rate/US \(\rightarrow\) Weaker TWD \(\rightarrow\) More foreign investment \\  & & in property/land entering Taiwan \(\rightarrow\) More demand \(\rightarrow\) Higher land prices \\ \hline _IRf_ & Risk Free Interest Rate & \multirow{2}{*}{–} & Higher interest rate \(\rightarrow\) Higher leverage costs to purchase properties \\ \hline _5 BamkR_ & Commercial Borrowing & \multirow{2}{*}{–} & Higher interest rate \(\rightarrow\) Higher leverage costs to purchase properties \\ \hline _NumCom_ & \# Companies Registered & + & Higher number of companies \(\rightarrow\) More space used for business \(\rightarrow\) Higher demand for land \(\rightarrow\) Higher land prices \\ \hline \multirow{2}{*}{_NumGuests_} & \# Guests in General & \multirow{2}{*}{+} & Number of guests is an indicator of more tourism coming in. \\  & Hotel & & Higher number of guests \(\rightarrow\) Increased development of attractions, \\  & & & and improvement of infrastructures \(\rightarrow\) Land prices increase \\ \hline \multirow{2}{*}{_Internet_} & Internet Penetration Rate & + & Better internet access is an indicator of developmental improvement \(\rightarrow\) \\  & & & Higher land prices \\ \hline \multirow{2}{*}{_FTZ_} & Existence of Free Trade & \multirow{2}{*}{+} & Attracts more business activities \(\rightarrow\) Higher demand \(\rightarrow\) Land prices increase \\  & Zone & & increase \\ \hline _AirDist_ & Distance to Airport & + & Further from airports \(\rightarrow\) Less noise pollution and less transportation competition \(\rightarrow\) More attractive to buyers \(\rightarrow\) Higher land prices \\ \hline \multirow{2}{*}{CC} & Construction Cost & + & Higher construction cost \(\rightarrow\) Higher the impounded cost of development \\  & & & \(\rightarrow\) Higher land prices \\ \hline _Energy_ & Energy Price Index & \multirow{2}{*}{–} & Higher energy prices \(\rightarrow\) Higher cost of owning and operating a property \\  & & & \(\rightarrow\) Lower land demand and prices \\ \hline _RoadDen_ & Road Density & + & Higher road density \(\rightarrow\) Better connectivity and accessibility \(\rightarrow\) Higher land values \\ \hline \end{tabular}
\end{table} 
Table 2: Possible factors affecting land prices. Figure 4: Correlations between land prices and property prices.