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The Effects of the Great East Japan Earthquake on Investors' Risk and Time Preferences

Author

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  • Taizo Motonishi

    (Kansai University, Faculty of Economics)

Abstract

This paper investigates the effects of the Great East Japan Earthquake on Japanese investors' risk and time preferences using surveys that collected data one month before and two months after the earthquake. Although there is some evidence to suggest that investors' risk and time preferences changed after the earthquake, the changes are not uniform across different types of financial opportunities. It is difficult to explain the post-quake stagnant stock prices in Japan in terms of these changes in investors' preferences.

Suggested Citation

  • Taizo Motonishi, 2017. "The Effects of the Great East Japan Earthquake on Investors' Risk and Time Preferences," Economics Bulletin, AccessEcon, vol. 37(3), pages 1830-1843.
    • Handle: RePEc:ebl:ecbull:eb-17-00586
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Risk preference; time preference; natural disaster; earthquake; preference stability; investor; Japan;
    All these keywords.

    JEL classification:

    • G1 - Financial Economics - - General Financial Markets
    • D1 - Microeconomics - - Household Behavior

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