IDEAS home Printed from https://ideas.repec.org/a/spr/ediscc/v8y2024i3d10.1007_s41885-024-00153-5.html
   My bibliography  Save this article

Assessing “Invisible Loss” During Medium-Term Earthquake Recovery: The Case of Indonesia's 2016 Aceh Earthquakes

Author

Listed:
  • Sonia Akter

    (The Australian National University)

  • Talitha Fauzia Chairunissa

    (National University of Singapore)

  • Madhavi Pundit

    (Asian Development Bank)

Abstract

This study presents the results of a medium-term assessment of earthquake recovery, aiming to measure non-economic welfare losses resulting from the indirect impacts of earthquakes. While most earthquake assessments concentrate on the economic loss and damage caused by direct impacts of earthquakes, this study focuses on capturing these less visible non-economic losses. The 2016 Aceh earthquakes in Indonesia serve as the case study for this assessment. By applying the difference-in-differences method, we compared the changes in a range of non-economic welfare indicators in earthquake-affected and unaffected villages two years before (2014) and two years after (2018) the catastrophic earthquakes. In addition to administrative data, we tested the suitability of average monthly and annual night-time light data from the Visible Infrared Imaging Radiometer Suite (VIIRS) instrument as an alternative way to capture non-economic welfare losses. The findings from administrative data suggested a significant deterioration in, poverty, access to healthcare and access to socio-economic services in earthquake-affected villages relative to unaffected villages in 2018, compared to 2014. The analysis of nightlights data revealed contrasting results, suggesting that disaster recovery assessments using nightlights may not accurately capture non-economic welfare changes on the ground. Our research indicates that the detrimental effects of earthquakes on non-economic welfare persisted for years following the initial devastation. Utilizing administrative data can help pinpoint the nature and extent of non-economic losses and inform the development of policies to aid in the effective recovery of affected communities.

Suggested Citation

  • Sonia Akter & Talitha Fauzia Chairunissa & Madhavi Pundit, 2024. "Assessing “Invisible Loss” During Medium-Term Earthquake Recovery: The Case of Indonesia's 2016 Aceh Earthquakes," Economics of Disasters and Climate Change, Springer, vol. 8(3), pages 541-561, November.
    • Handle: RePEc:spr:ediscc:v:8:y:2024:i:3:d:10.1007_s41885-024-00153-5
    DOI: 10.1007/s41885-024-00153-5
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s41885-024-00153-5
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s41885-024-00153-5?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Joshua D. Angrist & Jörn-Steffen Pischke, 2009. "Mostly Harmless Econometrics: An Empiricist's Companion," Economics Books, Princeton University Press, edition 1, number 8769.
    2. Gibson, John & Olivia, Susan & Boe-Gibson, Geua & Li, Chao, 2021. "Which night lights data should we use in economics, and where?," Journal of Development Economics, Elsevier, vol. 149(C).
    3. Hessel C. Winsemius & Jeroen C. J. H. Aerts & Ludovicus P. H. van Beek & Marc F. P. Bierkens & Arno Bouwman & Brenden Jongman & Jaap C. J. Kwadijk & Willem Ligtvoet & Paul L. Lucas & Detlef P. van Vuu, 2016. "Global drivers of future river flood risk," Nature Climate Change, Nature, vol. 6(4), pages 381-385, April.
    4. Sonia Akter & R. Quentin Grafton, 2021. "Do fires discriminate? Socio-economic disadvantage, wildfire hazard exposure and the Australian 2019–20 ‘Black Summer’ fires," Climatic Change, Springer, vol. 165(3), pages 1-21, April.
    5. Yingqi Zhu & Ying Wang & Tianxue Liu & Qi Sui, 2018. "Assessing macroeconomic recovery after a natural hazard based on ARIMA—a case study of the 2008 Wenchuan earthquake in China," 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. 91(3), pages 1025-1038, April.
    6. Stéphane Hallegatte & Adrien Vogt-Schilb & Julie Rozenberg & Mook Bangalore & Chloé Beaudet, 2020. "From Poverty to Disaster and Back: a Review of the Literature," Economics of Disasters and Climate Change, Springer, vol. 4(1), pages 223-247, April.
    7. Beyer, Robert C.M. & Franco-Bedoya, Sebastian & Galdo, Virgilio, 2021. "Examining the economic impact of COVID-19 in India through daily electricity consumption and nighttime light intensity," World Development, Elsevier, vol. 140(C).
    8. Hartwig De Haen & Günter Hemrich, 2007. "The economics of natural disasters: implications and challenges for food security," Agricultural Economics, International Association of Agricultural Economists, vol. 37(s1), pages 31-45, December.
    9. Paula Aguirre & Kenzo Asahi & Diego Diaz-Rioseco & Ignacio Riveros & Rodrigo O Valdés, 2023. "Medium-run local economic effects of a major earthquake," Journal of Economic Geography, Oxford University Press, vol. 23(2), pages 277-297.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fabien Candau & Tchapo Gbandi & Geoffroy Guepie, 2022. "Beyond the income effect of international trade on ethnic wars in Africa," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 30(3), pages 517-534, July.
    2. Verschuur,Jasper & Becher,Olivia Rose Elizabeth & Schwantje,Tom & Mathijs Van Ledden & Kazi,Swarna & Urrutia Duarte,Ignacio M., 2023. "Welfare and Climate Risks in Coastal Bangladesh : The Impacts of Climatic Extremes onMultidimensional Poverty and the Wider Benefits of Climate Adaptation," Policy Research Working Paper Series 10373, The World Bank.
    3. Haoqi Qian & Zhengyu Shi & Libo Wu, 2021. "Inferring Economic Condition Uncertainty from Electricity Big Data," Papers 2107.11593, arXiv.org, revised May 2023.
    4. Roberts,Mark, 2021. "Tracking Economic Activity in Response to the COVID-19 Crisis Using Nighttime Lights — The Case of Morocco," Policy Research Working Paper Series 9538, The World Bank.
    5. Salvucci, Vincenzo & Santos, Ricardo, 2020. "Vulnerability to Natural Shocks: Assessing the Short-Term Impact on Consumption and Poverty of the 2015 Flood in Mozambique," Ecological Economics, Elsevier, vol. 176(C).
    6. Nekeisha Spencer & Eric Strobl, 2025. "Modeling the Impact of Extreme Climate Events on Household Welfare: An Empirical Framework," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 88(4), pages 921-964, April.
    7. Chanda, Areendam & Cook, C. Justin, 2022. "Was India’s demonetization redistributive? Insights from satellites and surveys," Journal of Macroeconomics, Elsevier, vol. 73(C).
    8. Beyer,Robert Carl Michael & Narayanan,Abhinav & Thakur,Gogol Mitra, 2022. "Natural Disasters and Economic Dynamics : Evidence from the Kerala Floods," Policy Research Working Paper Series 10084, The World Bank.
    9. Beyer, Robert & Yao, Jiaxiong & Hu, Yingyao, 2022. "Measuring Quarterly Economic Growth from Outer Space," VfS Annual Conference 2022 (Basel): Big Data in Economics 264007, Verein für Socialpolitik / German Economic Association.
    10. Mavisakalyan, Astghik & Otrachshenko, Vladimir & Popova, Olga, 2024. "Natural Disasters and Acceptance of Intimate Partner Violence: The Global Evidence," IZA Discussion Papers 17172, Institute of Labor Economics (IZA).
    11. Beyer, Robert C.M. & Jain, Tarun & Sinha, Sonalika, 2023. "Lights out? COVID-19 containment policies and economic activity," Journal of Asian Economics, Elsevier, vol. 85(C).
    12. McSharry, Patrick & Mawejje, Joseph, 2024. "Estimating urban GDP growth using nighttime lights and machine learning techniques in data poor environments: The case of South Sudan," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    13. Wright, Austin L. & Sonin, Konstantin & Driscoll, Jesse & Wilson, Jarnickae, 2020. "Poverty and economic dislocation reduce compliance with COVID-19 shelter-in-place protocols," Journal of Economic Behavior & Organization, Elsevier, vol. 180(C), pages 544-554.
    14. Guido de Blasio & Daniela Vuri, 2019. "Effects of the Joint Custody Law in Italy," Journal of Empirical Legal Studies, John Wiley & Sons, vol. 16(3), pages 479-514, September.
    15. Alston Lee J. & Mueller Bernardo, 2018. "Priests, Conflicts and Property Rights: the Impacts on Tenancy and Land Use in Brazil," Man and the Economy, De Gruyter, vol. 5(1), pages 1-26, June.
    16. MacDonald, Peter, 2013. "Labour substitution and the scope for military outsourcing," MPRA Paper 46688, University Library of Munich, Germany.
    17. Matteo Migheli, 2021. "Green purchasing: the effect of parenthood and gender," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(7), pages 10576-10600, July.
    18. Yuyang Li & Jiahui Li & Xinjie Li & Qian Lu, 2024. "Does Participation in Digital Supply and Marketing Promote Smallholder Farmers’ Adoption of Green Agricultural Production Technologies?," Land, MDPI, vol. 14(1), pages 1-24, December.
    19. Sant’Anna, Pedro H.C. & Zhao, Jun, 2020. "Doubly robust difference-in-differences estimators," Journal of Econometrics, Elsevier, vol. 219(1), pages 101-122.
    20. Marie Bjørneby & Annette Alstadsæter & Kjetil Telle, 2018. "Collusive tax evasion by employers and employees. Evidence from a randomized fi eld experiment in Norway," Discussion Papers 891, Statistics Norway, Research Department.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:ediscc:v:8:y:2024:i:3:d:10.1007_s41885-024-00153-5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.