Empirical analysis of the reference point effect in residential choices under the risk of slope disasters

In this study, the hypothesis on the decision making on the residential choice with slope disaster risk was tested. First, two types of decisions, moving-in and moving-out decisions, were defined. Then, the hypothesis that people in moving-in decision are more risk averse than in moving-out decision was set. In order to test the hypothesis, the web survey was conducted and the difference of the equivalent rents was confirmed. Then, the hypothesis was verified. The results of the survey were interpreted by using prospect theory.