Arbeitspapier
Efficient Adaptation to Flood Risk
This paper studies whether private adaptation to flood risk is economically efficient. We estimate the return to elevating houses, one of the most significant private defensive investments against flooding, using two decades of microdata on the universe of houses and flood damages in high-risk flood zones in the Atlantic and Gulf Coast United States. We find that undertaking adaptation is socially optimal in the highest risk areas over a house's lifetime, but that individual homeowners may under-invest in flood protection because the benefits do not accrue over their average tenure. We identify conditions under which adaptation yields the highest returns.
- Language
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Englisch
- Bibliographic citation
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Series: CESifo Working Paper ; No. 10243
- Classification
-
Wirtschaft
National Government Expenditures and Related Policies: Infrastructures; Other Public Investment and Capital Stock
Climate; Natural Disasters and Their Management; Global Warming
Environmental Economics: Government Policy
- Subject
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Überschwemmung
Katastrophenschutz
Gebäude
Effizienz
USA
- Event
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Geistige Schöpfung
- (who)
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Hovekamp, Winston P.
Wagner, Katherine R. H.
- Event
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Veröffentlichung
- (who)
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Center for Economic Studies and ifo Institute (CESifo)
- (where)
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Munich
- (when)
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2023
- Handle
- Last update
-
10.03.2025, 11:44 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Hovekamp, Winston P.
- Wagner, Katherine R. H.
- Center for Economic Studies and ifo Institute (CESifo)
Time of origin
- 2023
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