Description: Higher Losses and Slower Development in the Absence of Disaster Risk Management Investments

Higher Losses and Slower Development in the Absence of Disaster Risk Management Investments

Global economic losses from natural disasters continue to increase. Yet, investments in disaster risk management are not universal, as they are traditionally seen as in competition with other development and economic priorities. The multitude of be...

Full description

Bibliographic Details
Main Authors:	Hallegatte, Stephane, Bangalore, Mook, Jouanjean, Marie-Agnes
Language:	English en_US
Published:	World Bank, Washington, DC 2016
Subjects:	FLOODING RISKS CATASTROPHIC LOSSES ECONOMIC GROWTH STORM PRODUCTION EARLY WARNING RISK REDUCTION VALUATION WIND SPEED INCOME INTEREST SUSTAINABILITY STORMS INFORMATION EXPORTS NATURAL CATASTROPHES HEALTH CARE WELFARE INCENTIVES FLOOD PROTECTION DISASTER DAMAGES INPUTS PAYMENTS WEALTH SOCIAL ASSISTANCE SAVING RISK AVERSE INFLATION EVACUEES EARTHQUAKES EXTREME WEATHER HURRICANES CATASTROPHES AGRICULTURAL PRACTICES DEVELOPMENT PER CAPITA INCOMES INFLUENCE TOTAL FACTOR PRODUCTIVITY SAVINGS DISASTER-PRONE COUNTRIES TSUNAMI COSTS DEVELOPMENT ECONOMICS NATURAL DISASTER MORAL HAZARD FLOODS EARLY WARNING SYSTEM PRODUCTIVITY INTEREST RATES EXTERNALITIES NATURAL HAZARD FAILURES NATURAL DISASTERS DEBT MARKETS LAHARS RATES DISASTERS DIVIDENDS FARMERS FAMINE INVENTORIES UTILITY LIGHTING INVENTORY FOOD AID WEALTH CREATION PREVENTIVE ACTION FLOOD INSURANCE UNEMPLOYMENT TECHNOLOGY REINSURANCE EXTERNALITY PRODUCTIVITY GROWTH DROUGHTS CONSUMPTION ECONOMIC PRIORITIES HUMAN CAPITAL TROPICAL CYCLONE EMERGENCY EARTHQUAKE DISASTER REDUCTION CAPITAL DISASTER RISK CLIMATE CHANGE DROUGHT INTERNATIONAL TRADE VALUE ECONOMIC VALUE COMPETITIVENESS LOSSES BANK EXTREME EVENTS MACROECONOMICS PATENTS DEMAND MICROINSURANCE UTILITY FUNCTION RISK EXPOSURE PRODUCTIVE ASSETS ECONOMY CONSUMERS AGRICULTURE DAMAGE IMPACT OF DISASTERS DISASTER INSURANCE WEATHER DISASTERS OPPORTUNITY COSTS ASSETS DISASTER MANAGEMENT WARNING SYSTEM EXPLOSION FLOOD ECONOMIC SITUATION REGULATION ECONOMICS RECIPROCITY ECONOMIC SYSTEMS INSURANCE SLUMS LOSS TRADE ECONOMIC INTEGRATION GDP GOODS THEORY GROWTH RATE WAR HURRICANE INVESTMENT NATIONAL EMERGENCY TOTAL FACTOR PRODUCTIVITY GROWTH RISK UNINSURED LOSSES MITIGATION POSITIVE EXTERNALITIES TROPICAL CYCLONES FATALITIES RISK TAKING DISASTER RISK REDUCTION RISK MANAGEMENT UNDERESTIMATES FINANCIAL RISK EXTREME WEATHER EVENTS INSURANCE COMPANIES RISK AVERSION EVACUATION WEATHER EVENTS TECHNOLOGIES OUTCOMES MARGINAL UTILITY GROWTH POTENTIAL NATURAL HAZARDS RECONSTRUCTION BENEFITS RISK MITIGATION RISK ANALYSIS DEVELOPMENT POLICY
Online Access:	http://documents.worldbank.org/curated/en/2016/04/26213104/higher-losses-slower-development-absence-disaster-risk-management-investments http://hdl.handle.net/10986/24205

Description
Summary:	Global economic losses from natural disasters continue to increase. Yet, investments in disaster risk management are not universal, as they are traditionally seen as in competition with other development and economic priorities. The multitude of benefits from disaster risk management investments are not traditionally accounted for in cost-benefit analyses. This paper contributes to this discussion by highlighting the multiple benefits from disaster risk management investments, focusing on the avoided losses when a disaster occurs, but also on the impacts on economic development even before a disaster strikes. The paper's main message is that disaster risk management investments can provide two dividends: reduced losses when a disaster strikes, and a shift of investment strategies and perhaps even an increase in investment value that would benefit the economy even before a disaster strikes. Providing evidence to policy makers and investors about the existence of both types of dividends can provide a narrative reconciling short-term and long-term objectives, thereby improving the acceptability and feasibility of disaster risk management investments.

Higher Losses and Slower Development in the Absence of Disaster Risk Management Investments

Similar Items