The Impact of Hurricane Strikes on Short-Term Local Economic Activity: Evidence from Nightlight Images in the Dominican Republic

Oscar A. Ishizawa; Juan José Miranda; Eric Strobl

doi:10.1007/s13753-019-00226-0

The Impact of Hurricane Strikes on Short-Term Local Economic Activity: Evidence from Nightlight Images in the Dominican Republic

Oscar A. Ishizawa, Juan José Miranda, Eric Strobl^*

^*Corresponding author for this work

Economics

Research output: Contribution to journal › Article › peer-review

5 Citations (Scopus)

Abstract

The Dominican Republic is highly exposed to adverse natural events that put the country at risk of losing hard-won economic, social, and environmental gains due to the impacts of disasters. This study used monthly nightlight composites in conjunction with a wind field model to econometrically estimate the impact of tropical cyclones on local economic activity in the Dominican Republic since 1992. It was found that the negative impact of storms lasts up to 15 months after a strike, with the largest effect observed after 9 months. Translating the reduction in nightlight intensity into monetary losses by relating it to quarterly gross domestic product (GDP) suggests that on average the storms reduced GDP by about USD 1.1 billion (4.5% of GDP 2000 and 1.5% of GDP 2016).

Original language	English
Pages (from-to)	362-370
Number of pages	9
Journal	International Journal of Disaster Risk Science
Volume	10
Issue number	3
DOIs	https://doi.org/10.1007/s13753-019-00226-0
Publication status	Published - 1 Sept 2019

Bibliographical note

Publisher Copyright:
© 2019, The Author(s).

Keywords

Dominican Republic
Econometric analysis
Hurricanes
Nightlights

ASJC Scopus subject areas

Global and Planetary Change
Geography, Planning and Development
Safety Research
Management, Monitoring, Policy and Law

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10.1007/s13753-019-00226-0

Cite this

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abstract = "The Dominican Republic is highly exposed to adverse natural events that put the country at risk of losing hard-won economic, social, and environmental gains due to the impacts of disasters. This study used monthly nightlight composites in conjunction with a wind field model to econometrically estimate the impact of tropical cyclones on local economic activity in the Dominican Republic since 1992. It was found that the negative impact of storms lasts up to 15 months after a strike, with the largest effect observed after 9 months. Translating the reduction in nightlight intensity into monetary losses by relating it to quarterly gross domestic product (GDP) suggests that on average the storms reduced GDP by about USD 1.1 billion (4.5% of GDP 2000 and 1.5% of GDP 2016).",

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The Impact of Hurricane Strikes on Short-Term Local Economic Activity: Evidence from Nightlight Images in the Dominican Republic

Abstract

Bibliographical note

Keywords

ASJC Scopus subject areas

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