Dealing with Increased Risk of Natural Disasters: Challenges and Options, Issues 2003-2197

Front Cover
International Monetary Fund, Fiscal Affairs Department, Oct 1, 2003 - Business & Economics - 37 pages
0 Reviews
Natural disaster risk is emerging as an increasingly important constraint on economic development and poverty reduction. This paper first sets out the key stylized facts in the area-that the costs of disaster have been increasing, seem set to continue to increase, and bear especially heavily on the poorest. It then reviews the key economic issues at stake, focusing in particular on the actual and prospective roles of, and interaction between, market instruments and public interventions in dealing with disaster risk. Key sources of market failure include the difficulty of risk spreading and, perhaps even more fundamental, the Samaritan's dilemma: the underinvestment in protective measures associated with the rational expectation that others will provide support if disaster occurs. Innovations addressing each of these are discussed.

From inside the book

What people are saying - Write a review

We haven't found any reviews in the usual places.


The Macroeconomics of Disaster and Recovery
Policy Implications

2 other sections not shown

Other editions - View all

Common terms and phrases

Bibliographic information