Do Natural Disasters Stimulate Individual Saving? Evidence from a Natural Experiment in a Highly Developed Country
While various empirical studies have found negative growth-effects of natural disasters, little is yet known about the microeconomic channels through which disasters might affect short- and especially long-term growth. This paper contributes to filling this gap in the literature by studying how natural disasters affect individual saving decisions. This study makes use of a natural experiment created by the European Flood of August 2002. Using micro data from the German Socio-Economic Panel that we combine with geographic flood data, we compare the savings behavior of affected and non-affected individuals by using a difference-in-differences approach. Our empirical results indicate that natural disasters depress individual saving decisions, which might be the consequence of a Samaritan's Dilemma
Year of publication: |
2015
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Authors: | Berlemann, Michael |
Other Persons: | Steinhardt, Max Friedrich (contributor) ; Tutt, Jascha (contributor) |
Publisher: |
[2015]: [S.l.] : SSRN |
Subject: | Katastrophe | Disaster | Sparen | Savings | Entwicklungsländer | Developing countries |
Saved in:
freely available
Extent: | 1 Online-Ressource (51 p) |
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Series: | IZA Discussion Paper ; No. 9026 |
Type of publication: | Book / Working Paper |
Language: | English |
Other identifiers: | 10.2139/ssrn.2604389 [DOI] |
Classification: | Q54 - Climate; Natural Disasters ; D14 - Personal Finance ; O16 - Financial Markets; Saving and Capital Investment ; h84 |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10013023000