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http://dx.doi.org/10.12652/Ksce.2019.39.6.0933

A Analysis on Preference of Funeral Type by Socioeconomic Characteristics using Nested Logit Model  

Joo, Ho Sang (Pusan National University)
Choi, Yeol (Pusan National University)
Publication Information
KSCE Journal of Civil and Environmental Engineering Research / v.39, no.6, 2019 , pp. 933-943 More about this Journal
Abstract
The purpose of this study is to identify determinants for preferred funeral methods depending on socio-economic characteristics. In South Korea, the Act on Funeral Services, Etc. categorizes funeral methods into burial, inurnment, and natural burial. This study empirically analyzes how and what socio-economic characteristics affect choices among these three categories. Data is collected from Social Survey 2017 and funeral facilities in the country. The data to be analyzed is developed in terms of a hierarchy which puts the burial and cremation methods in an upper class and the inurnment and natural burial methods in a lower class. Based on this data, a nested logit model is employed to conduct empirical analysis. The analysis indicates that those characteristics that have a statistically significant influence on preferred methods include gender, age, householder, marriage, satisfaction with life, class awareness, monthly income, housing type, housing tenure type, and living in city area. Each variable's modulus of calculated direct and cross elasticity need to be used to analyze the outcome of a nested logit model. In this study, the modulus of direct and cross elasticity are determined for the significant variables. The calculated direct elasticity is applied to analyze the likelihood of choosing each funeral method when there are changes in the significant variables. When a particular method has been selected, on the other hand, the cross elasticity is utilized to analyze changes to the likelihood of choosing the other methods. One of the most notable results is related to natural burial. In order to meet the demand for natural burial, it is necessary to provide more burial sites and raise awareness of natural burial. This will facilitate the efficient use of national territorial space.
Keywords
Preference of funeral type; Burial; Cremation; Inurnment; Natural burial; Nested logit mode;
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