Policy Trade-Offs in Building Resilience to Natural Disasters : The Case of St. Lucia /

Resilience to climate change and natural disasters hinges on two fundamental elements: financial protection -insurance and self-insurance- and structural protection -investment in adaptation. Using a dynamic general equilibrium model calibrated to the St. Lucia's economy, this paper shows that...

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Detaylı Bibliyografya
Yazar: Cantelmo, Alessandro
Diğer Yazarlar: Bonato, Leo, Melina, Giovanni, Salinas, Gonzalo
Materyal Türü: Dergi
Dil:English
Baskı/Yayın Bilgisi: Washington, D.C. : International Monetary Fund, 2019.
Seri Bilgileri:IMF Working Papers; Working Paper ; No. 2019/054
Online Erişim:Full text available on IMF
Diğer Bilgiler
Özet:Resilience to climate change and natural disasters hinges on two fundamental elements: financial protection -insurance and self-insurance- and structural protection -investment in adaptation. Using a dynamic general equilibrium model calibrated to the St. Lucia's economy, this paper shows that both strategies considerably reduce the output loss from natural disasters and studies the conditions under which each of the two strategies provides the best protection. While structural protection normally delivers a larger payoff because of its direct dampening effect on the cost of disasters, financial protection is superior when liquidity constraints limit the ability of the government to rebuild public capital promptly. The estimated trade-off is very sensitive to the efficiency of public investment.
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Fiziksel Özellikler:1 online resource (18 pages)
Materyal Türü:Mode of access: Internet
ISSN:1018-5941
Erişim:Electronic access restricted to authorized BRAC University faculty, staff and students