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Winners and losers: analysing post-disaster spatial economic demand shift
1Department of Landscape Architecture and Urban Planning, Hazard Reduction and Recovery Center, Texas A&M University, TX 77843-3137, United States. yuxiao@tamu.edu
Disasters
|September 7, 2013
Summary
Following Hurricane Katrina, economic demand shifted outward from the core disaster zone. This created a "doughnut hole" of low growth surrounded by high-growth areas on the periphery.
Area of Science:
- Disaster economics
- Regional economic analysis
- Spatial econometrics
Background:
- Natural disasters create economic disparities, impacting regions differently.
- Understanding post-disaster economic adjustments is crucial for recovery planning.
- Hurricane Katrina caused widespread devastation, necessitating studies on its economic aftermath.
Purpose of the Study:
- To investigate the spatial distribution of economic winners and losers after a major disaster.
- To test the hypothesis of a spatial demand shift away from the most damaged areas.
- To analyze the long-term implications of disaster-induced economic redistribution.
Main Methods:
- Empirical analysis of county/parish-level economic growth patterns.
- Geospatial analysis of income and employment changes post-Hurricane Katrina.
- Comparative study of growth in core disaster areas versus surrounding regions.
Main Results:
- Verified the spatial demand shift hypothesis post-Hurricane Katrina.
- Identified a 'doughnut hole' effect: low income and employment growth in the core disaster zone.
- Observed a surrounding ring of high economic growth in adjacent counties/parishes.
- Short-run growth rate adjustments suggest potential permanent shifts in spatial distribution.
Conclusions:
- Disasters create distinct spatial patterns of economic winners and losers.
- Economic activity can shift to the periphery of disaster zones due to damage and transportation costs.
- The spatial redistribution of income and employment following Hurricane Katrina may have lasting effects.
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