IDEAS home Printed from https://ideas.repec.org/p/vuw/vuwecf/21117.html
   My bibliography  Save this paper

Income and Extratropical Cyclones in New Zealand

Author

Listed:
  • Apurba, Roy
  • Ilan, Noy
  • Harold E., Cuffe

Abstract

Aotearoa New Zealand is highly vulnerable to extratropical cyclones because of its unique location in the midlatitude south pacific region. This study empirically investigates the impact of the extratropical cyclones on individual income, combining the data from Statistics New Zealand’s Integrated Data Infrastructure (IDI) and the weather-related insurance claims data from the Earthquake Commission. Our sample covers the administrative longitudinal panel data of all the IRD registered individual taxpayers between 2010 and 2019. We estimate a set of panel regressions with individual and time-fixed effects to assess the impact of extratropical cyclones on the affected individual’s annual income. We find that income from salaries and wages is negatively affected by the cyclones across various specifications. Extratropical cyclones also negatively affect the total individual income from wages and salaries, benefit and compensation, and sole tradership. However, we have limited success in identifying individual characteristics influencing the affected people's income level in our study.

Suggested Citation

  • Apurba, Roy & Ilan, Noy & Harold E., Cuffe, 2021. "Income and Extratropical Cyclones in New Zealand," Working Paper Series 21117, Victoria University of Wellington, School of Economics and Finance.
    • Handle: RePEc:vuw:vuwecf:21117
    as

    Download full text from publisher

    File URL: https://ir.wgtn.ac.nz/handle/123456789/21117
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Meltzer, Rachel & Ellen, Ingrid Gould & Li, Xiaodi, 2021. "Localized commercial effects from natural disasters: The case of Hurricane Sandy and New York City," Regional Science and Urban Economics, Elsevier, vol. 86(C).
    2. Toshihiro Okubo & Eric Strobl, 2021. "Natural disasters, firm survival, and growth: Evidence from the Ise Bay Typhoon, Japan," Journal of Regional Science, Wiley Blackwell, vol. 61(5), pages 944-970, November.
    3. Elisabetta Genovese & Valentin Przyluski, 2013. "Storm surge disaster risk management: the Xynthia case study in France," Journal of Risk Research, Taylor & Francis Journals, vol. 16(7), pages 825-841, August.
    4. Christoph C. Raible & Joaquim G. Pinto & Patrick Ludwig & Martina Messmer, 2021. "A review of past changes in extratropical cyclones in the northern hemisphere and what can be learned for the future," Wiley Interdisciplinary Reviews: Climate Change, John Wiley & Sons, vol. 12(1), January.
    5. von Möllendorff, Charlotte & Hirschfeld, Jesko, 2016. "Measuring impacts of extreme weather events using the life satisfaction approach," Ecological Economics, Elsevier, vol. 121(C), pages 108-116.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Apurba, Roy & Ilan, Noy & Harold E., Cuffe, 2021. "Income and Extratropical Cyclones in New Zealand," Working Paper Series 9472, Victoria University of Wellington, School of Economics and Finance.
    2. Hayato Kato & Toshihiro Okubo, 2022. "The Resilience of FDI to Natural Disasters Through Industrial Linkages," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 82(1), pages 177-225, May.
    3. Apurba Roy & Ilan Noy, 2023. "Impact of extratropical cyclones, floods, and wildfires on firms’ financial performance in New Zealand," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 25(4), pages 493-574, October.
    4. Tovar Reaños, Miguel A., 2021. "Floods, flood policies and changes in welfare and inequality: Evidence from Germany," Ecological Economics, Elsevier, vol. 180(C).
    5. Ahlfeldt, Gabriel M. & Gobillon, Laurent, 2021. "Introduction to the Special issue: “Emerging Trends in Urban Economics”," Regional Science and Urban Economics, Elsevier, vol. 90(C).
    6. Guo, Wei & Liao, Yanjun (Penny) & Miao, Qing, 2023. "Managed Retreat and Flood Recovery: The Local Economic Impacts of a Buyout and Acquisition Program," RFF Working Paper Series 23-44, Resources for the Future.
    7. Johnston, David W. & Önder, Yasin Kürşat & Rahman, Muhammad Habibur & Ulubaşoğlu, Mehmet A., 2021. "Evaluating wildfire exposure: Using wellbeing data to estimate and value the impacts of wildfire," Journal of Economic Behavior & Organization, Elsevier, vol. 192(C), pages 782-798.
    8. Ahmadiani, Mona & Ferreira, Susana, 2021. "Well-being effects of extreme weather events in the United States," Resource and Energy Economics, Elsevier, vol. 64(C).
    9. Meltzer, Rachel & Ellen, Ingrid Gould & Li, Xiaodi, 2021. "Localized commercial effects from natural disasters: The case of Hurricane Sandy and New York City," Regional Science and Urban Economics, Elsevier, vol. 86(C).
    10. Nicholas Gunby & Tom Coupé, 2023. "Weather-Related Home Damage and Subjective Well-Being," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 84(2), pages 409-438, February.
    11. Bartosz Wilczek, 2018. "Media use and life satisfaction: the moderating role of social events," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 65(2), pages 157-184, June.
    12. Berlemann, Michael & Eurich, Marina, 2021. "Natural hazard risk and life satisfaction – Empirical evidence for hurricanes," Ecological Economics, Elsevier, vol. 190(C).
    13. Tetsuji Okazaki & Toshihiro Okubo & Eric Strobl, 2020. "The Bright and Dark Side of Financial Support from Local and Central Banks after a Natural Disaster: Evidence from the Great Kanto Earthquake, 1923 Japan," Keio-IES Discussion Paper Series 2020-001, Institute for Economics Studies, Keio University.
    14. Lohmann, Paul & Pondorfer, Andreas & Rehdanz, Katrin, 2019. "Natural Hazards and Well-Being in a Small-Scale Island Society," Ecological Economics, Elsevier, vol. 159(C), pages 344-353.
    15. Hamid R. Oskorouchi & Alfonso Sousa‐Poza, 2021. "Floods, food security, and coping strategies: Evidence from Afghanistan," Agricultural Economics, International Association of Agricultural Economists, vol. 52(1), pages 123-140, January.
    16. Arnab K. Ghosh & Martin F. Shapiro & David Abramson, 2022. "Closing the Knowledge Gap in the Long-Term Health Effects of Natural Disasters: A Research Agenda for Improving Environmental Justice in the Age of Climate Change," IJERPH, MDPI, vol. 19(22), pages 1-9, November.
    17. Adachi, Daisuke & Nakata, Hiroyuki & Sawada, Yasuyuki & Sekiguchi, Kunio, 2023. "Adverse selection and moral hazard in corporate insurance markets: Evidence from the 2011 Thailand floods," Journal of Economic Behavior & Organization, Elsevier, vol. 205(C), pages 376-386.
    18. Jones, Benjamin A., 2023. "Dust storms and human well-being," Resource and Energy Economics, Elsevier, vol. 72(C).
    19. Jorge A. Ramirez & Michal Lichter & Tom J. Coulthard & Chris Skinner, 2016. "Hyper-resolution mapping of regional storm surge and tide flooding: comparison of static and dynamic models," 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. 82(1), pages 571-590, May.
    20. R. Rajesh, 2022. "A novel advanced grey incidence analysis for investigating the level of resilience in supply chains," Annals of Operations Research, Springer, vol. 308(1), pages 441-490, January.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vuw:vuwecf:21117. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Library Technology Services (email available below). General contact details of provider: https://edirc.repec.org/data/egvuwnz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.