Special Issue "Natural Hazards and Economic Development"

A special issue of Economies (ISSN 2227-7099).

Deadline for manuscript submissions: closed (30 November 2017)

Special Issue Editor

Guest Editor
Prof. Peter A. G. van Bergeijk

Academic Staff, UnitInternational Institute of Social Studies (ISS), Erasmus University Rotterdam, The Netherlands
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Special Issue Information

Dear Colleagues,

While it is undisputed that natural hazards are costly, the impact on, and role/level of development is still not well understood. This Special Issue covers contributions regarding both economic development per se and development policies. The focus is on factors mitigating the negative impact and/or strengthening the positive impact of natural hazards on (total factor) productivity in the global south. Resilience to the shocks of natural hazards is only partly a macroeconomic phenomenon and the field needs further analysis of, in particular, firm-level data and industry case studies.

Prof. Dr. Peter A. G. van Bergeijk
Guest Editor

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Published Papers (4 papers)

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Research

Open AccessArticle Shaking up the Firm Survival: Evidence from Yogyakarta (Indonesia)
Received: 30 November 2017 / Revised: 2 March 2018 / Accepted: 21 March 2018 / Published: 9 April 2018
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Abstract
The survival of firms under changes in the business environment caused by exogenous shocks can be explained using economic Darwinism. Exogenous shocks can cause ‘cleansing effects’. Shocks clean out unproductive firms so that available resources are allocated to the remaining more productive firms.
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The survival of firms under changes in the business environment caused by exogenous shocks can be explained using economic Darwinism. Exogenous shocks can cause ‘cleansing effects’. Shocks clean out unproductive firms so that available resources are allocated to the remaining more productive firms. However, shocks may also force out young firms that have the potential to be highly productive in the future, which will lower the average productivity of industries. This is known as the ‘scarring effect’ of shocks. Therefore, the overall impact of exogenous shocks on the allocation of resources depends on the relative magnitude of cleansing and scarring effects. This paper investigates this natural selection mechanism after the Yogyakarta earthquake in 2006. The study uses data on medium-sized and large manufacturing firms in the Yogyakarta province collected by the Indonesian Statistical Agency. The main finding of this paper is that firms that had higher productivity prior to the earthquake in 2006 were more likely to survive after the earthquake, which suggests the existence of a natural selection mechanism, specifically cleansing effects. There is no evidence of the scarring effects of the earthquake on the new entrants. Full article
(This article belongs to the Special Issue Natural Hazards and Economic Development)
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Open AccessArticle Changes in Natural Disaster Risk: Macroeconomic Responses in Selected Latin American Countries
Received: 29 November 2017 / Revised: 31 January 2018 / Accepted: 1 February 2018 / Published: 26 February 2018
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Abstract
This paper studies the theoretical effects of changes in disaster risk on macroeconomic variables in five Latin American economies. It compares country-specific variants of the New Keynesian model with disaster risk developed by Isoré and Szczerbowicz (2017). Countries with higher price flexibility, such
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This paper studies the theoretical effects of changes in disaster risk on macroeconomic variables in five Latin American economies. It compares country-specific variants of the New Keynesian model with disaster risk developed by Isoré and Szczerbowicz (2017). Countries with higher price flexibility, such as Argentina, Brazil, and Mexico, are found to be relatively less vulnerable to disaster risk shocks, as compared to Chile and Colombia in particular. Overall, the analysis suggests that increases in the probability of natural disasters over time may have significant macroeconomic effects, beyond the direct impact of actual disaster occurrences themselves. Full article
(This article belongs to the Special Issue Natural Hazards and Economic Development)
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Open AccessArticle Analysis of Variance of the Effects of a Project’s Location on Key Issues and Challenges in Post-Disaster Reconstruction Projects
Received: 2 October 2017 / Revised: 1 November 2017 / Accepted: 6 November 2017 / Published: 27 November 2017
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Abstract
After a disaster, the reconstruction phase is driven by immediate challenges. One of the main challenges in the post-disaster period is the way that reconstruction projects are implemented. Reconstruction cannot move forward until some complex issues are settled. The purposes of this research
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After a disaster, the reconstruction phase is driven by immediate challenges. One of the main challenges in the post-disaster period is the way that reconstruction projects are implemented. Reconstruction cannot move forward until some complex issues are settled. The purposes of this research are to highlight the issues and challenges in post-disaster reconstruction (PDR) projects and to determine the significant differences between the issues and challenges in different locations where PDR projects are carried out. The researchers collected data within international non-governmental organisations (INGOs) on their experience of working with PDR projects. The findings of this research provide the foundation on which to build strategies for avoiding project failures; this may be useful for PDR project practitioners in the future. Full article
(This article belongs to the Special Issue Natural Hazards and Economic Development)
Open AccessArticle Urban Climate Vulnerability in Cambodia: A Case Study in Koh Kong Province
Received: 4 March 2017 / Revised: 17 October 2017 / Accepted: 19 October 2017 / Published: 7 November 2017
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Abstract
This study investigates an urban climate vulnerability in Cambodia by constructing an index to compare three different communes, Smach Meanchey, Daun Tong, and Steong Veng, located in the Khemarak Phoumin district, Koh Kong province. It is found that Daun Tong commune is the
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This study investigates an urban climate vulnerability in Cambodia by constructing an index to compare three different communes, Smach Meanchey, Daun Tong, and Steong Veng, located in the Khemarak Phoumin district, Koh Kong province. It is found that Daun Tong commune is the most vulnerable location among the three communes, followed by Steong Veng. Besides, vulnerability as Expected Poverty (VEP) is used to measure the vulnerability to poverty, that is, the probability of a household income to fall below the poverty line, as it captures the impact of shocks can be conducted in the cross-sectional study. It applies two poverty thresholds: the national poverty line after taking into account the inflation rate and the international poverty line defined by the World Bank, to look into its sensitivity. By using the national poverty line, the study reveals that more than one-fourth of households are vulnerable to poverty, while the international poverty threshold shows that approximately one-third of households are in peril. With low levels of income inequality, households are not highly sensitive to poverty; however, both poverty thresholds point out that the current urban poor households are more vulnerable than non-poor families. Full article
(This article belongs to the Special Issue Natural Hazards and Economic Development)
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