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An Introduction to Natural Disaster Economics

Author

Listed:
  • Kahn, Matthew

Abstract

The fires in Los Angeles ignited in January 2025. I will use this shock to sketch out my main themes as I will explore the microeconomics of natural disasters as I focus on the causes and consequences of extreme weather events; including hurricanes, tornadoes, wildfires, extreme heat, and pollution spikes. I will ask (and sketch answers to) some tough questions: Why do these shocks cause damage? Why weren’t people, firms, and governments prepared for such shocks? What does it mean “to be ready”?

Suggested Citation

  • Kahn, Matthew, 2025. "An Introduction to Natural Disaster Economics," MPRA Paper 124320, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:124320
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    File URL: https://mpra.ub.uni-muenchen.de/124320/1/MPRA_paper_124320.pdf
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    More about this item

    Keywords

    natural disasters; adaptation; uncertainty; investment; incentives;
    All these keywords.

    JEL classification:

    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets

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