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Wildfires, smoke pollution, and household purchasing behaviors

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  • Sheldon, Tamara L.
  • Zhan, Crystal

Abstract

In this paper, we investigate households’ behavioral responses to wildfires in California to understand their mitigation and adaptation strategies. We combine daily household-level consumer purchase data from the NielsenIQ Consumer Panel with detailed wildfire incident and smoke exposure data from various sources. Our analysis reveals that wildfires reduce retail trips and overall spending, both in-store and online, likely due to evacuations. However, wildfire-driven smoke increases purchases of essential goods, indicating adaptive behavior. More experienced households tend to respond more cautiously, and we observe heterogeneity in responses based on income, age, and pre-existing health conditions. These findings highlight the complexity and diversity of household adaptations to wildfire-related disruptions.

Suggested Citation

  • Sheldon, Tamara L. & Zhan, Crystal, 2026. "Wildfires, smoke pollution, and household purchasing behaviors," Journal of Economic Behavior & Organization, Elsevier, vol. 244(C).
    • Handle: RePEc:eee:jeborg:v:244:y:2026:i:c:s0167268126000600
    DOI: 10.1016/j.jebo.2026.107474
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    Keywords

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    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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