Remembering the Trembles of Nature: How Do Long-Run Disaster Experiences Shape Bank Risk Taking?

Natural Disasters and Financial Stress: Can Macroprudential Regulation Tame Green Swans?

“…In this respect, Garmaise and Moscowitz (2009) find that the likelihood that a property is financed through bank debt is reduced in earthquake-prone areas, especially when the catastrophic insurance market is poorly developed. Along this line, Bos and Li (2017) show that banks that face strong earthquake experiences reduced their exposure to real estate and were more likely to lend to high-income borrowers.…”