Abstract
This study aims to analyze how a flood risk affects land prices and land use. The economic activity being easily affected by flood would not locate at the spots with high flood risk, and then the land prices of high flood risk spot would be lower than the spots with low flood risk. In our study, a hedonic land-price model considering flood risk as an explanatory variable is applied for land price and land use in order to make economic evaluation of flood risk. The proposed hedonic land price model is a hybrid model that integrate conventional hedonic model estimated from limited observations, with land use model estimated from plenty observations.
