THE ROLE OF NATURAL HAZARD ON INCOME INEQUALITY

Lucia Errico (), Andrea Mosca (), Sandro Rondinella () and Carmela Ciccarelli ()
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Lucia Errico: Department of Economics, Statistics and Finance 'Giovanni Anania', University of Calabria, Rende (Italy)
Andrea Mosca: Department of Economics, University of Bergamo, Italy
Sandro Rondinella: Department of Economics, Statistics and Finance 'Giovanni Anania', University of Calabria, Rende (Italy)
Carmela Ciccarelli: Department of Economics, Statistics and Finance 'Giovanni Anania', University of Calabria, Rende (Italy)

No 202402, Working Papers from Università della Calabria, Dipartimento di Economia, Statistica e Finanza "Giovanni Anania" - DESF

Abstract: This study investigates the relationship between environmental risks and income inequality within Italian municipalities, utilising data spanning from 2010 to 2020. Specifically, leveraging a unique dataset drawing upon various sources, we analyse the impact of environmental hazards such as hydrogeological risks, landslides, volcanic zones, and earthquakes on income distribution. Our findings suggest that municipalities facing heightened environmental risks tend to exhibit increased income inequality, with results being driven by hydrogeological risks, landslides, and volcanic zones. On the other hand, earthquake risk appears to alleviate income inequality, particularly in the South of the country. Our results underscore the significance of preventive and communication measures not only in mitigating the impact of such natural hazards but also in managing the associated economic uncertainty.

Keywords: Income inequality; environmental risk; beta regression (search for similar items in EconPapers)
JEL-codes: D31 I30 Q54 (search for similar items in EconPapers)
Pages: 32 pages
Date: 2024-03
New Economics Papers: this item is included in nep-env
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http://www.ecostat.unical.it/RePEc/WorkingPapers/WP02_2024.pdf First version, 2024-03 (application/pdf)

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