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How Do Risk Perceptions Respond to Information? The Case of Radon

In: The Economics of Environmental Risk

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  • V. Kerry Smith
  • F. Reed Johnson

Abstract

A specialized survey of Maine households' responses to information about the risks associated with radon concentrations in their homes and water supplies was used to evaluate how they form risk perceptions. The findings support a modified form of a Bayesian learning model to describe 'how individuals used the information to revise their risk perceptions. Moreover, individuals who took some mitigating actions reported lower risk perceptions after that action. The overall results are potentially important to the use of information programs as policy instruments for risk reduction because they indicate that new information can affect risk perceptions in a systematic way.

Suggested Citation

  • V. Kerry Smith & F. Reed Johnson, 2022. "How Do Risk Perceptions Respond to Information? The Case of Radon," Chapters, in: The Economics of Environmental Risk, chapter 7, pages 105-112, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:1195_7
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    Cited by:

    1. Andreas Haufler & Hayato Kato & Hayato Kato, 2024. "A Global Minimum Tax for Large Firms Only: Implications for Tax Competition," CESifo Working Paper Series 11087, CESifo.
    2. Philippe Aghion & Maxime Gravoueille & Matthieu Lequien & Stefanie Stantcheva, 2017. "Tax Simplicity or Simplicity of Evasion? Evidence from Self-Employment Taxes in France," NBER Working Papers 24049, National Bureau of Economic Research, Inc.

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