Short and Long Run Effects of Earthquakes on Farm Businesses in Indonesia

Jérémie Gignoux and Marta Menéndez
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Marta Menéndez: LEDa - Laboratoire d'Economie de Dauphine - IRD - Institut de Recherche pour le Développement - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique

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Abstract: This paper studies the impact of earthquakes on farm business assets in rural Indonesia. Using a panel fixed effects model, we evaluate if the negative consequences of earthquakes extend beyond the immediate event into the medium and long-term. Our results suggest that rural households were able to recover in the medium-run, and even exhibit welfare gains in the long-run. Productive assets in farm businesses were on average reconstituted and even increased in the medium-run. Thus, reconstruction strategies after large earthquakes seem to provide incentives to small farm business holders to reconstitute and increase their investments.

Keywords: Natural disasters; long-term effects; recovery; farm businesses (search for similar items in EconPapers)
Date: 2014-08
Note: View the original document on HAL open archive server: https://hal.science/hal-01617392v1
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Published in EAAE 2014 Congress : "Agri-Food and Rural Innovations for Healthier Societies", Aug 2014, Ljubljana, Slovenia. pp.13

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Working Paper: Short and long run effects of earthquakes on farm businesses in Indonesia (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-01617392

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