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A Reliability‐Based Capability Approach

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  • Armin Tabandeh
  • Paolo Gardoni
  • Colleen Murphy

Abstract

This article proposes a rigorous mathematical approach, named a reliability‐based capability approach (RCA), to quantify the societal impact of a hazard. The starting point of the RCA is a capability approach in which capabilities refer to the genuine opportunities open to individuals to achieve valuable doings and beings (such as being mobile and being sheltered) called functionings. Capabilities depend on what individuals have and what they can do with what they have. The article develops probabilistic predictive models that relate the value of each functioning to a set of easily predictable or measurable quantities (regressors) in the aftermath of a hazard. The predicted values of selected functionings for an individual collectively determine the impact of a hazard on his/her state of well‐being. The proposed RCA integrates the predictive models of functionings into a system reliability problem to determine the probability that the state of well‐being is acceptable, tolerable, or intolerable. Importance measures are defined to quantify the contribution of each functioning to the state of well‐being. The information from the importance measures can inform decisions on optimal allocation of limited resources for risk mitigation and management.

Suggested Citation

  • Armin Tabandeh & Paolo Gardoni & Colleen Murphy, 2018. "A Reliability‐Based Capability Approach," Risk Analysis, John Wiley & Sons, vol. 38(2), pages 410-424, February.
    • Handle: RePEc:wly:riskan:v:38:y:2018:i:2:p:410-424
    DOI: 10.1111/risa.12843
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    References listed on IDEAS

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    1. Nussbaum, Martha C., 2001. "Symposium on Amartya Sen's philosophy: 5 Adaptive preferences and women's options," Economics and Philosophy, Cambridge University Press, vol. 17(1), pages 67-88, April.
    2. Alkire, Sabina & Foster, James, 2011. "Counting and multidimensional poverty measurement," Journal of Public Economics, Elsevier, vol. 95(7), pages 476-487.
    3. Louis Anthony (Tony) Cox & Emeline D. Cox, 2016. "Intergenerational Justice in Protective and Resilience Investments with Uncertain Future Preferences and Resources," Risk, Governance and Society, in: Paolo Gardoni & Colleen Murphy & Arden Rowell (ed.), Risk Analysis of Natural Hazards, edition 1, chapter 0, pages 173-195, Springer.
    4. Colleen Murphy & Paolo Gardoni, 2006. "The Role of Society in Engineering Risk Analysis: A Capabilities‐Based Approach," Risk Analysis, John Wiley & Sons, vol. 26(4), pages 1073-1083, August.
    5. Sabina Alkire, James E. Foster, Suman Seth, Maria Emma Santos, Jose M. Roche and Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 9 - Distribution and Dynamics," OPHI Working Papers ophiwp090_ch9.pdf, Queen Elizabeth House, University of Oxford.
    6. François Bourguignon & Satya R. Chakravarty, 2019. "The Measurement of Multidimensional Poverty," Themes in Economics, in: Satya R. Chakravarty (ed.), Poverty, Social Exclusion and Stochastic Dominance, pages 83-107, Springer.
    7. Sven Ove Hansson, 2016. "Managing Risks of the Unknown," Risk, Governance and Society, in: Paolo Gardoni & Colleen Murphy & Arden Rowell (ed.), Risk Analysis of Natural Hazards, edition 1, chapter 0, pages 155-172, Springer.
    8. Sabina Alkire, James E. Foster, Suman Seth, Maria Emma Santos, José M. Roche and Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 7 - Data and Analysis," OPHI Working Papers ophiwp088_ch7.pdf, Queen Elizabeth House, University of Oxford.
    9. Sabina Alkire & Maria Santos, 2013. "A Multidimensional Approach: Poverty Measurement & Beyond," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 112(2), pages 239-257, June.
    10. Colleen Murphy & Paolo Gardoni, 2010. "Assessing capability instead of achieved functionings in risk analysis," Journal of Risk Research, Taylor & Francis Journals, vol. 13(2), pages 137-147, March.
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    Cited by:

    1. Sharma, Neetesh & Gardoni, Paolo, 2022. "Mathematical modeling of interdependent infrastructure: An object-oriented approach for generalized network-system analysis," Reliability Engineering and System Safety, Elsevier, vol. 217(C).

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