Scandinavian Working Papers in Economics

CERE Working Papers,
CERE - the Center for Environmental and Resource Economics

No 2017:3: The Economics of Natural Disasters: an Overview of the Current Research Issues and Methods

Mattia Luigi Ratti ()
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Mattia Luigi Ratti: CERE and the Department of Forest Economics, SLU, Postal: Department of Economics, Umeå University, S-901 87, Umeå, Sweden

Abstract: In the last decades, we have observed a dramatic increase in the number of reported natural disasters and of their widespread human, economic, and environmental losses. This paper presents an overview of the current status of economic research on natural disasters. Firstly, it discusses key issues related to disaster definition, available datasets, and cost assessment. Then, it presents the main methodological approaches for estimating impacts and effects of natural disasters on the economy. Finally, it proposes a number of possible future research directions.

Keywords: definitions; data bias; true cost assessment; theoretical empirical; simulation models

JEL-codes: A12; C80; E10; O10; O40; Q54

32 pages, April 20, 2017

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