This paper deals with the effect of (i) damage experience from extreme weather events and (ii) expectations concerning future climate change on subjective wellbeing (SWB). We use data of a large representative survey amongst German households. The effect of experienced weather events on SWB of...

Individual risk preference may change after experiencing external socio-economic or natural shocks. Theoretical predictions and empirical studies suggest that risk taking may increase or decrease after experiencing shocks. So far the empirical evidence is sparse, especially when it comes to...

This review summarizes the empirical literature on the effects of natural disasters and weather variations on international trade flows. A first result is that the body of literature is actually not as small as previously suggested. In total, I summarize 19 studies of 18 independent research...

In the aftermath of natural disasters, governments frequently provide financial aid for affected households. This policy can have adverse effects if individuals anticipate it and forgo private precaution measures. While theoretical literature unequivocally suggests this so called “charity...

Individual risk preference may change after experiencing external socio-economic or natural shocks. Theoretical predictions and empirical studies suggest that risk taking may increase or decrease after experiencing shocks. So far the empirical evidence is sparse, especially when it comes to...

Im Juli 2021 wurde der Westen Deutschlands von verheerenden Sturzfluten heimgesucht, die eine Vielzahl an Todesopfern gefordert haben. Neben den menschlichen Tragödien gab es wirtschaftliche Schäden in Milliardenhöhe. Häuser wurden unbewohnbar, ökonomische Existenzen von Privathaushalten...

Although natural hazard insurance is advocated as an important means of risk management, private insurance demand often remains below critical levels. Prior loss experience and the design of governmental relief schemes are two factors potentially influencing insurance decisions. We address these...