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Consumer Valuation of Earthquake Risk Before and After Massive Earthquakes

In: Housing Markets and Household Behavior in Japan

Author

Listed:
  • Miki Seko

    (Musashino University)

Abstract

We use the hedonic pricing approachHedonic pricing model to examine whether homeowners and/or renters alter their subjective assessments of earthquake riskSubjective assessments of earthquake risk after massive earthquakes. It is found that there are some modifications of individuals’ assessments of earthquake risk in both cases, using nationwide household panel dataHousehold panel data coupled with earthquake hazard informationEarthquake hazard information and records of observed earthquakesRecords of observed earthquakes . Households tend to underestimate earthquake risk if there has not been a recent occurrence.

Suggested Citation

  • Miki Seko, 2019. "Consumer Valuation of Earthquake Risk Before and After Massive Earthquakes," Advances in Japanese Business and Economics, in: Housing Markets and Household Behavior in Japan, chapter 0, pages 193-207, Springer.
    • Handle: RePEc:spr:advchp:978-981-13-3369-9_10
    DOI: 10.1007/978-981-13-3369-9_10
    as

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