RT Journal Article
SR Electronic
T1 Does Extreme Weather Drive Interregional Brain Drain in the U.S.? Evidence from a Sorting Model
JF Land Economics
JO Land Econ
FD University of Wisconsin Press
SP 363
OP 388
DO 10.3368/le.92.2.363
VO 92
IS 2
A1 Qin Fan
A1 H. Allen Klaiber
A1 Karen Fisher-Vanden
YR 2016
UL http://le.uwpress.org/content/92/2/363.abstract
AB Previous studies have identified mean temperature as an important factor in household location choice, but no study has measured the impact of extreme weather on U.S. interregional brain drain. We estimate a residential sorting model to examine the effects of extreme weather on heterogeneous household location choices across the United States. We find that college graduates are more sensitive to extreme temperatures and are willing to pay more than other demographic groups to avoid hot weather. In light of predicted increases in extreme heat days in the West and Southwest, these areas may be at risk of significant human capital loss. (JEL Q51, Q54)