Probit Regression Results
All Flood Zones (805 Observations) | |||
---|---|---|---|
Variable | Coef. | S.E. | Marg.a |
Future storms | 0.005 | 0.005 | 0.001 |
Future damage | 0.058** | 0.025 | 0.016 |
Risk aversion (gain) | 0.000 | 0.036 | 0.000 |
Risk aversion (loss) | 0.096** | 0.038 | 0.027 |
Disaster assistance | 0.281** | 0.111 | 0.078 |
Insurer credibility | 0.245** | 0.117 | 0.067 |
Number of flood events | 0.410** | 0.172 | 0.114 |
Years on coast | —0.001 | 0.003 | —0.000 |
Distance | —0.007** | 0.003 | —0.002 |
Mortgage | 0.143 | 0.121 | 0.039 |
SFHA | 0.738*** | 0.222 | 0.232 |
Mortgage×SFHA | 1.490*** | 0.346 | 0.465 |
Income | 0.056*** | 0.015 | 0.016 |
Other property | 0.069 | 0.205 | 0.019 |
Florida | — 1.974*** | 0.552 | —0.504 |
CRS | —0.108*** | 0.040 | —0.030 |
Florida×CRS | 0.181** | 0.077 | 0.050 |
Hispanic | 0.316* | 0.176 | 0.092 |
Male | 0.068 | 0.108 | 0.019 |
Kids | —0.190 | 0.127 | —0.052 |
Mobile home | —0.587* | 0.323 | —0.143 |
Constant | —0.913** | 0.448 | |
Log-likelihood | —397.759 | ||
Likelihood ratio chi-square | 253.220 | ||
Pseudo R-squared | 0.242 |
Note: CRS, Community Ratings System; SFHA, Special Flood Hazard Area.
↵a Marginal effects for binary variables calculated as ΔF(z) = F(β ’x + αz I z = 1) — F(β ’x + αz I z = 0), where z is the dummy variable in question, and all other variables are held at the means. Marginal effects for continuous variables are computed at the means.
↵*, **, *** Significant at p =0.10, 0.05, and 0.01, respectively.