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Evolution of Risk Aversion over Five Years after a Major Natural Disaster.

J Dev Econ

June 2023

Department of Economics, Duke University, 213 Social Sciences, 419 Chapel Drive, Box 90097, Durham, NC 27708, United States.

The impact of exposure to a major unanticipated natural disaster on the evolution of survivors' attitudes toward risk is examined, exploiting plausibly exogenous variation in exposure to the 2004 Indian Ocean tsunami in combination with rich population-representative longitudinal survey data spanning the five years after the tsunami. Respondents chose among pairs of hypothetical income streams. Those directly exposed to the tsunami made choices consistent with greater willingness to take on risk relative to those not directly exposed to the tsunami.

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In this article, we use the metaphor of a tsunami to illustrate the waves of change brought on by the global pandemic. We discuss the role of leadership educators in responding, recovering, and rebuilding in the aftermath of crisis. We draw from transition theory and complex adaptive leadership theory for sense-making and action.

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Submarine landslide megablocks show half of Anak Krakatau island failed on December 22nd, 2018.

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Badan Pengkajian dan Penerapan Teknologi, PTRRB-TPSA, DKI Jakarta, Java, Jakarta, Indonesia.

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We argue that predictions of a 'tsunami' of mental health problems as a consequence of the pandemic of coronavirus disease 2019 (COVID-19) and the lockdown are overstated; feelings of anxiety and sadness are entirely normal reactions to difficult circumstances, not symptoms of poor mental health.  Some people will need specialised mental health support, especially those already leading tough lives; we need immediate reversal of years of underfunding of community mental health services.  However, the disproportionate effects of COVID-19 on the most disadvantaged, especially BAME people placed at risk by their social and economic conditions, were entirely predictable.

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Background: The 2004 Indian Ocean tsunami caused significant damage to the health system in Sri Lanka. Rebuilding infrastructure and improving the mental health system were targets of recovery policies. Retrospective analyses of the post-tsunami health system recovery in Sri Lanka lack the perspectives of local stakeholders, including health care providers.

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