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Does Economic Diversity Enhance Regional Disaster Resilience?

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  • Yu Xiao
  • Joshua Drucker

Abstract

Problem, research strategy, and findings: Little research examines the effect of diversity on regional economic resilience to natural disasters. We examine whether economic diversity benefits regional economies in typical circumstances and in recovery after a natural disaster, using the case of the 1993 U.S. Midwest flood. By matching counties in the nine states affected by the flood to control counties, we isolate the influence of diversity on employment and income in normal circumstances and after a substantial shock. We found economic diversity to have mixed associations with employment and income in typical circumstances. On average, economically diverse counties tended to experience faster employment gains but slower growth in per capita income than less diverse areas. The effect of economic diversity upon resilience following a natural disaster was unambiguous. Economic diversity aided counties in weathering the downturn following the flood and sped their return to long-term patterns of employment and income growth. Takeaway for practice : In promoting policies to enhance economic diversity, planners in communities located in areas prone to natural disasters should consider both the goal of disaster resilience and the potential tradeoffs between different aspects of economic performance. Research support : None.

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  • Yu Xiao & Joshua Drucker, 2013. "Does Economic Diversity Enhance Regional Disaster Resilience?," Journal of the American Planning Association, Taylor & Francis Journals, vol. 79(2), pages 148-160, April.
    • Handle: RePEc:taf:rjpaxx:v:79:y:2013:i:2:p:148-160
    DOI: 10.1080/01944363.2013.882125
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    1. Albala-Bertrand, J. M., 1993. "Political Economy of Large Natural Disasters: With Special Reference to Developing Countries," OUP Catalogue, Oxford University Press, number 9780198287650.
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    1. Alexandru Pavel & Bogdan Andrei Moldovan & Karima Kourtit & Peter Nijkamp, 2020. "Urban or Rural: Does It Make A Difference for Economic Resilience? A Modelling Study on Economic and Cultural Geography in Romania," Sustainability, MDPI, vol. 12(9), pages 1-39, May.
    2. Jinglu Song & Bo Huang & Rongrong Li & Rishikesh Pandey, 2020. "Construction of the Scale-Specific Resilience Index to Facilitate Multiscale Decision Making in Disaster Management: A Case Study of the 2015 Nepal Earthquake," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 148(1), pages 189-223, February.
    3. César Andrés Mendoza & Giulio Breglia & Benjamín Jara, 2020. "Regional labor markets after an earthquake. Short-term emergency reactions in a cross-country perspective. Cases from Chile, Ecuador, Italy [Regionale Arbeitsmärkte nach einem Erdbeben. Kurzfristig," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 40(2), pages 189-221, October.
    4. Coulson, N. Edward & McCoy, Shawn J. & McDonough, Ian K., 2020. "Economic diversification and the resiliency hypothesis: Evidence from the impact of natural disasters on regional housing values," Regional Science and Urban Economics, Elsevier, vol. 85(C).
    5. Odirilwe Selomane & Belinda Reyers & Reinette Biggs & Maike Hamann, 2019. "Harnessing Insights from Social-Ecological Systems Research for Monitoring Sustainable Development," Sustainability, MDPI, vol. 11(4), pages 1-36, February.
    6. Shiyao Zhu & Haibo Feng & Qiuhu Shao, 2023. "Evaluating Urban Flood Resilience within the Social-Economic-Natural Complex Ecosystem: A Case Study of Cities in the Yangtze River Delta," Land, MDPI, vol. 12(6), pages 1-22, June.
    7. Mikhail Rogov & Céline Rozenblat, 2018. "Urban Resilience Discourse Analysis: Towards a Multi-Level Approach to Cities," Sustainability, MDPI, vol. 10(12), pages 1-21, November.
    8. Xi Huang, 2021. "Immigration and economic resilience in the Great Recession," Urban Studies, Urban Studies Journal Limited, vol. 58(9), pages 1885-1905, July.

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