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Pandemic Recovery Analysis Using the Dynamic Inoperability Input‐Output Model

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  • Joost R. Santos
  • Mark J. Orsi
  • Erik J. Bond

Abstract

Economists have long conceptualized and modeled the inherent interdependent relationships among different sectors of the economy. This concept paved the way for input‐output modeling, a methodology that accounts for sector interdependencies governing the magnitude and extent of ripple effects due to changes in the economic structure of a region or nation. Recent extensions to input‐output modeling have enhanced the model's capabilities to account for the impact of an economic perturbation; two such examples are the inoperability input‐output model(1,2) and the dynamic inoperability input‐output model (DIIM).(3) These models introduced sector inoperability, or the inability to satisfy as‐planned production levels, into input‐output modeling. While these models provide insights for understanding the impacts of inoperability, there are several aspects of the current formulation that do not account for complexities associated with certain disasters, such as a pandemic. This article proposes further enhancements to the DIIM to account for economic productivity losses resulting primarily from workforce disruptions. A pandemic is a unique disaster because the majority of its direct impacts are workforce related. The article develops a modeling framework to account for workforce inoperability and recovery factors. The proposed workforce‐explicit enhancements to the DIIM are demonstrated in a case study to simulate a pandemic scenario in the Commonwealth of Virginia.

Suggested Citation

  • Joost R. Santos & Mark J. Orsi & Erik J. Bond, 2009. "Pandemic Recovery Analysis Using the Dynamic Inoperability Input‐Output Model," Risk Analysis, John Wiley & Sons, vol. 29(12), pages 1743-1758, December.
  • Handle: RePEc:wly:riskan:v:29:y:2009:i:12:p:1743-1758
    DOI: 10.1111/j.1539-6924.2009.01328.x
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    1. Theresa Brown & Walt Beyeler & Dianne Barton, 2004. "Assessing infrastructure interdependencies: the challenge of risk analysis for complex adaptive systems," International Journal of Critical Infrastructures, Inderscience Enterprises Ltd, vol. 1(1), pages 108-117.
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    1. > Economics of Welfare > Health Economics > Economics of Pandemics > Policy responses > Macroeconomic

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    2. Fynnwin Prager & Dan Wei & Adam Rose, 2017. "Total Economic Consequences of an Influenza Outbreak in the United States," Risk Analysis, John Wiley & Sons, vol. 37(1), pages 4-19, January.
    3. Pradeep V. Mandapaka & Edmond Y. M. Lo, 2023. "Assessing Shock Propagation and Cascading Uncertainties Using the Input–Output Framework: Analysis of an Oil Refinery Accident in Singapore," Sustainability, MDPI, vol. 15(2), pages 1-24, January.
    4. Jian Jin & Haoran Zhou, 2023. "A Demand-Side Inoperability Input–Output Model for Strategic Risk Management: Insight from the COVID-19 Outbreak in Shanghai, China," Sustainability, MDPI, vol. 15(5), pages 1-22, February.
    5. Yijia Wen & Li Fang & Qing Li, 2022. "Commercial Real Estate Market at a Crossroads: The Impact of COVID-19 and the Implications to Future Cities," Sustainability, MDPI, vol. 14(19), pages 1-16, October.
    6. Peter A.G. van Bergeijk, 2021. "Pandemic Economics," Books, Edward Elgar Publishing, number 20401.
    7. Henry H. Willis & Melinda Moore, 2014. "Improving the Value of Analysis for Biosurveillance," Decision Analysis, INFORMS, vol. 11(1), pages 63-81, March.
    8. Lee, Chien-Chiang & Wang, Chih-Wei & Ho, Shan-Ju & Wu, Ting-Pin, 2021. "The impact of natural disaster on energy consumption: International evidence," Energy Economics, Elsevier, vol. 97(C).
    9. Eduardo Rodrigues Sanguinet & Augusto Mussi Alvim & Miguel Atienza & Adelar Fochezatto, 2021. "The subnational supply chain and the COVID‐19 pandemic: Short‐term impacts on the Brazilian regional economy," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(S1), pages 158-186, November.
    10. John Hamer Powell & Michael Hammond & Albert Chen & Navonil Mustafee, 2018. "Human Agency in Disaster Planning: A Systems Approach," Risk Analysis, John Wiley & Sons, vol. 38(7), pages 1422-1443, July.

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