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Coping with flood: role of institutions in Bangladesh

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  • Shahidur R. Khandker

Abstract

The article examines the coping strategies that rural households adopted during the 1998 flood in Bangladesh and assesses its impact on household welfare, including coping and vulnerability. Both vulnerability and poverty have in general declined in Bangladesh. Yet, 60% of rural households adopted a coping of one type or another and about half of rural households were both vulnerable as well as found to adopt any coping mechanism during the 1998 flood. Household-level panel data analysis confirms that the flood reduced both consumption and asset, and forced many households to adopt some coping mechanisms to mitigate the adverse effects of flood. Consequently, natural disaster such as flooding increases households' vulnerability to poverty. However, post-flood bumper crop production and operation of targeted programs such as microfinance helped compensate the losses of flood. Copyright 2007 International Association of Agricultural Economists.

Suggested Citation

  • Shahidur R. Khandker, 2007. "Coping with flood: role of institutions in Bangladesh," Agricultural Economics, International Association of Agricultural Economists, vol. 36(2), pages 169-180, March.
    • Handle: RePEc:bla:agecon:v:36:y:2007:i:2:p:169-180
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    1. del Ninno, Carlo & Dorosh, Paul A. & Smith, Lisa C. & Roy, Dilip K., 2001. "The 1998 floods in Bangladesh: disaster impacts, household coping strategies, and responses," Research reports 122, International Food Policy Research Institute (IFPRI).
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    Cited by:

    1. Leonardo Becchetti & Stefano Castriota & Pierluigi Conzo, 2012. "Bank strategies in catastrophe settings: empirical evidence and policy suggestions," Econometica Working Papers wp43, Econometica.
    2. Karim, Azreen & Noy, Ilan, 2015. "The (mis) allocation of public spending in a low income country: Evidence from disaster risk reduction spending in Bangladesh," Working Paper Series 4194, Victoria University of Wellington, School of Economics and Finance.
    3. Mottaleb, Khondoker A. & Mohanty, Samarendu & Mishra, Ashok K., 2015. "Intra-Household Resource Allocation under Negative Income Shock: A Natural Experiment," World Development, Elsevier, vol. 66(C), pages 557-571.
    4. Noy, Ilan & Karim, Azreen, 2013. "Poverty, inequality and natural disasters – A survey," Working Paper Series 2974, Victoria University of Wellington, School of Economics and Finance.
    5. Berg, Gunhild & Schrader, Jan, 2012. "Access to credit, natural disasters, and relationship lending," Journal of Financial Intermediation, Elsevier, vol. 21(4), pages 549-568.
    6. Mottaleb, Khondoker Abdul & Gumma, Murali K. & Mishra, Ashok K. & Mohanty, Samarendu, 2015. "Quantifying production losses due to drought and submergence of rainfed rice at the household level using remotely sensed MODIS data," Agricultural Systems, Elsevier, vol. 137(C), pages 227-235.
    7. Karim, Azreen, 2016. "The household response to persistent natural disasters: Evidence from Bangladesh," Working Paper Series 4968, Victoria University of Wellington, School of Economics and Finance.
    8. Shitangsu Paul & Jayant Routray, 2011. "Household response to cyclone and induced surge in coastal Bangladesh: coping strategies and explanatory variables," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 57(2), pages 477-499, May.
    9. Azreen Karim & Ilan Noy, 2016. "Poverty and Natural Disasters: A Meta-Regression Analysis," Review of Economics and Institutions, Università di Perugia, vol. 7(2).
    10. Masahiro Shoji, 2008. "How do the poor cope with hardships when mutual assistance is unavailable?," Economics Bulletin, AccessEcon, vol. 15(13), pages 1-17.
    11. Hermes, Niels & Lensink, Robert, 2011. "Microfinance: Its Impact, Outreach, and Sustainability," World Development, Elsevier, vol. 39(6), pages 875-881, June.
    12. Czura, Kristina & Klonner, Stefan, 2010. "The Tsunami and the Chit Fund- Evidence from the Indian Ocean Tsunami Hit on Credit Demand in South India," Proceedings of the German Development Economics Conference, Hannover 2010 46, Verein für Socialpolitik, Research Committee Development Economics.
    13. Karim, Azreen & Noy, Ilan, 2014. "Poverty and natural disasters: A meta-analysis," Working Paper Series 3234, Victoria University of Wellington, School of Economics and Finance.
    14. Mottaleb, Khondoker Abdul & Mohanty, Samarendu & Hoang, Hoa Thi Khanh & Rejesus, Roderick M., 2013. "The effects of natural disasters on farm household income and expenditures: A study on rice farmers in Bangladesh," Agricultural Systems, Elsevier, vol. 121(C), pages 43-52.
    15. Bhattamishra, Ruchira & Barrett, Christopher B., 2010. "Community-Based Risk Management Arrangements: A Review," World Development, Elsevier, vol. 38(7), pages 923-932, July.
    16. Azreen Karim & Ilan Noy, 2016. "Poverty And Natural Disasters — A Qualitative Survey Of The Empirical Literature," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 61(01), pages 1-36, March.
    17. Becchetti, Leonardo & Castriota, Stefano, 2011. "Does Microfinance Work as a Recovery Tool After Disasters? Evidence from the 2004 Tsunami," World Development, Elsevier, vol. 39(6), pages 898-912, June.
    18. Maria Porter, 2016. "Effects of microcredit and other loans on female empowerment in Bangladesh: the borrower's gender influences intra-household resource allocation," Agricultural Economics, International Association of Agricultural Economists, vol. 47(2), pages 235-245, March.
    19. Jackeline Velazco & Ramon Ballester, 2016. "Food Access and Shocks in Rural Households: Evidence from Bangladesh and Ethiopia," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 129(2), pages 527-549, November.
    20. Eskander, Shaikh M.S.U. & Fankhauser, Samuel & Jha, Shikha, 2016. "Do Natural Disasters Change Savings and Employment Choices? Evidence from Bangladesh and Pakistan," ADB Economics Working Paper Series 505, Asian Development Bank.

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