ABSTRACT
The levee effect refers to the paradox that the construction of a levee to protect from flooding might induce property owners to invest more in their property, increasing the potential damages should the levee breach. Thus, paradoxically, the levee might increase flood risk. The levee effect was observed for high-income countries. We analyze whether it can also be observed in a low-income country, Bangladesh. In the Jamuna floodplain different levels of flood protection have existed alongside each other since the 1960s, so their effects can be compared.
