Question

Exercise. property 3 is subject to a devastating flood every 50 years, an event that can destroy your house and your property. property 2 can be subject to similar flooding, but only once every 250 years. property 1 has no risk of flooding.

property 3 has a beautiful view of the river with private access to swimming and boating. property 2 has a good river view but not direct access to the water. property 1 has neither, a view or access to the river.

property 3 will take 30 years to pay off, property 2 will take 15 years and property 1 can be pay off in 8 years.

• Which property would you choose and why?
• What factors do you think most influenced your decision? Are those factors social, economic, cultural, political, environmental or something else?
• Have you or your family ever lived through a major environmental disaster? If so, which one? Did that influence your decision?
• Do you think that most of your classmates would choose the same property as you?
• Do you think that your parents would choose the same property as you?

Answer 1

I'll be choosing property 2 because of the moderate risk associated with it as the frequency of mishap is very low and it have nice view apart from this the payoff time is not much as compared to property 1.

The factors that influenced my decision is the safety factor that is associated with environment and social factor as it has a nice view of the river.

No we haven't lived in any place that have some dangers associated from natural calamities.

I think most of the people will opt for the property 2 because it's not very risky to live at that site and economically accessible and have moderate views.

I think my parents would have also choosed that same site because of the moderate risk associated with it.