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Behavioral Responses to Natural Disasters

Author

Listed:
  • Marco Castillo

    () (Interdisciplinary Center for Economic Science and Department of Economics, George Mason University)

  • Michael Carter

    () (Agricultural and Resource Economics, University of California - Davis)

Abstract

Catastrophic events can dramatically alter existing social and economic relationships. The consequences can be long-lasting and give rise to heterogeneity of behavior across populations. We investigate the impact of a large negative shock on altruism, trust and reciprocity in 30 small Honduran communities diversely affected by Hurricane Mitch in 1998. We conduct a survey of communities and behavioral experiments three and four years after the event. We find that the mean and variance of behavior are nonlinearly related to the severity of the weather shock affecting the community. Also, there is a substitution away from formal local organizations to informal arrangements.

Suggested Citation

  • Marco Castillo & Michael Carter, 2011. "Behavioral Responses to Natural Disasters," Working Papers 1026, George Mason University, Interdisciplinary Center for Economic Science.
  • Handle: RePEc:gms:wpaper:1026
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    File URL: http://www.gmu.edu/schools/chss/economics/icesworkingpapers.gmu.edu/pdf/1026.pdf
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    References listed on IDEAS

    as
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    Citations

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    Cited by:

    1. Aghajanian, Alia Jane, 2016. "Social capital and conflict: impact and implications," Economics PhD Theses 0116, Department of Economics, University of Sussex.
    2. Hie Joo Ahn & James D. Hamilton, 2016. "Heterogeneity and Unemployment Dynamics," NBER Working Papers 22451, National Bureau of Economic Research, Inc.
    3. Becchetti, Leonardo & Castriota, Stefano & Conzo, Pierluigi, 2017. "Disaster, Aid, and Preferences: The Long-run Impact of the Tsunami on Giving in Sri Lanka," World Development, Elsevier, vol. 94(C), pages 157-173.
    4. Sommarat Chantarat & Sirikarn Lertamphainont & Krislert Samphantharak, 2016. "Floods and Farmers: Evidence from the Field in Thailand," PIER Discussion Papers 40., Puey Ungphakorn Institute for Economic Research, revised Aug 2016.
    5. John Helliwell & Haifang Huang & Shun Wang, 2016. "New Evidence on Trust and Well-Being," Working Papers id:11131, eSocialSciences.
    6. Prediger, Sebastian & Vollan, Björn & Herrmann, Benedikt, 2014. "Resource scarcity and antisocial behavior," Journal of Public Economics, Elsevier, pages 1-9.
    7. Chuang, Yating & Schechter, Laura, 2015. "Stability of experimental and survey measures of risk, time, and social preferences: A review and some new results," Journal of Development Economics, Elsevier, pages 151-170.
    8. Algan, Yann & Cahuc, Pierre, 2014. "Trust, Growth, and Well-Being: New Evidence and Policy Implications," Handbook of Economic Growth,in: Handbook of Economic Growth, edition 1, volume 2, chapter 2, pages 49-120 Elsevier.
    9. Li, Zhe & Massa, Massimo & Xu, Niahang & Zhang, Hong, 2016. "The Impact of Sin Culture: Evidence from Earning Management and Alcohol Consumption in China," CEPR Discussion Papers 11475, C.E.P.R. Discussion Papers.
    10. Yann Algan & Pierre Cahuc, 2014. "Trust, Well-Being and Growth: New Evidence and Policy Implications," Sciences Po publications info:hdl:2441/33o86cn6qp8, Sciences Po.
    11. Sommarat Chantarat & Sothea Oum & Krislert Samphantharak & Vathana Sann, 2016. "Natural Disasters, Preferences, and Behaviors: Evidence from the 2011 Mega Flood in Cambodia," PIER Discussion Papers 38., Puey Ungphakorn Institute for Economic Research, revised Jul 2016.
    12. Algan, Yann & Cahuc, Pierre, 2014. "Trust, Growth, and Well-Being: New Evidence and Policy Implications," Handbook of Economic Growth,in: Handbook of Economic Growth, edition 1, volume 2, chapter 2, pages 49-120 Elsevier.
    13. Callen, Michael, 2015. "Catastrophes and time preference: Evidence from the Indian Ocean Earthquake," Journal of Economic Behavior & Organization, Elsevier, vol. 118(C), pages 199-214.

    More about this item

    Keywords

    noncooperative games; experimental economics; norms;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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