Evaluating Wildfire Exposure: Using Wellbeing Data to Estimate and Value the Impacts of Wildfire

Johnston, David and Onder, Yasin Kursat and Rahman, Habibur and Ulubasoglu, Mehmet (2021): Evaluating Wildfire Exposure: Using Wellbeing Data to Estimate and Value the Impacts of Wildfire.

Abstract

This paper estimates and quantifies the wellbeing effects of the 2009 Black Saturday Bushfires, the deadliest wildfire event in Australia's known history. Using subjective wellbeing data from a nationally representative longitudinal study and adopting an individual fixed-effects approach, our results identify a significant reduction in life satisfaction for individuals residing in close proximity of the wildfires. The negative wellbeing effect is valued at A$52,300 per annum; corresponding to 80% of the average annual income of a full-time employed adult. The satisfaction domain most negatively affected is how safe the person feels, and the group most affected are people with low social support. A delayed adverse mental health effect is also identified.

• Item Type: MPRA Paper
• Language: English
• Keywords: Wildfires, georeferencing, life satisfaction
• Subjects: I - Health, Education, and Welfare > I1 - Health > I18 - Government Policy ; Regulation ; Public Health; I - Health, Education, and Welfare > I3 - Welfare, Well-Being, and Poverty > I31 - General Welfare, Well-Being; Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q54 - Climate ; Natural Disasters and Their Management ; Global Warming

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