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The Economic Effects of Climate Change Adaptation Measures: Evidence from Miami-Dade County and New York City

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  • Seung Kyum Kim

    (Graduate School of Design, Harvard University, Cambridge, MA 02138, USA)

Abstract

This research examines the economic impact of climate change adaptation measures on the housing markets of two representative coastal cities in the United States located along the Atlantic Ocean. The results shed light on how adaptation measures and investments influence housing values and local real estate markets with respect to their place-based and local forms of implementation. Numerous quantitative approaches, with the use of geospatial data, panel-data hedonic regressions, and difference-in-differences analyses, are used to examine changes in property values associated with climate adaptation measures and the dynamics of risk perception. The results also signal how risk perception and hurricane characteristics are reflected in housing markets, thereby shedding light on the effects of anticipatory and reactive adaptation strategies on property values in these coastal communities. Collectively, the study suggests which adaptation strategies and characteristics can contribute to maximizing both community resilience and economic benefits against the weather extremes caused by climate change.

Suggested Citation

  • Seung Kyum Kim, 2020. "The Economic Effects of Climate Change Adaptation Measures: Evidence from Miami-Dade County and New York City," Sustainability, MDPI, vol. 12(3), pages 1-19, February.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:3:p:1097-:d:316151
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    Cited by:

    1. Justin Contat & Caroline Hopkins & Luis Mejia & Matthew Suandi, 2023. "When Climate Meets Real Estate: A Survey of the Literature," FHFA Staff Working Papers 23-05, Federal Housing Finance Agency.
    2. Seung Kyum Kim & James K. Hammitt, 2022. "Hurricane risk perceptions and housing market responses: the pricing effects of risk-perception factors and hurricane characteristics," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 114(3), pages 3743-3761, December.
    3. Katarzyna Kocur-Bera, 2022. "Impact of the COVID-19 Pandemic Era on Residential Property Features: Pilot Studies in Poland," IJERPH, MDPI, vol. 19(9), pages 1-19, May.
    4. Fletcher, Cameron S. & Ganegodage, K. Renuka & Hildenbrand, Marian D. & Rambaldi, Alicia N., 2022. "The behaviour of property prices when affected by infrequent floods," Land Use Policy, Elsevier, vol. 122(C).

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