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Analyzing regional economic impact and resilience: a case study on electricity outages caused by the 2008 snowstorms in southern China |
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| Authors: | Aijun Hu Wei Xie Ning Li Xuanhua Xu Zhonghui Ji Jidong Wu |
| Institution: | 1. State Key Laboratory of Earth Surface Processes and Resource Ecology, Beijing Normal University, Beijing, 100875, China 2. Hunan Meteorological Bureau, Changsha, 410118, Hunan, China 4. Academy of Disaster Reduction and Emergency Management, Ministry of Civil Affairs, Ministry of Education, Beijing Normal University, Beijing, 100875, China 3. Key Laboratory of Environmental Change and Natural Disaster, Ministry of Education, Beijing Normal University, Beijing, 100875, China 5. Business School, Central South University, Changsha, 410083, Hunan, China |
| Abstract: | When we think about the loss caused by natural disasters, we generally think about the direct economic loss. Although the direct economic loss is often obvious, the subsequent indirect economic loss can also be quite substantial. This research is a case study about the indirect economic impact of the Hunan electricity disruptions resulting from the 2008 snowstorms in southern China. Utilizing the computable general equilibrium model, this study shows that the indirect economic loss in Hunan Province resulting from electricity supply disruptions is estimated at USD 372 million over a 3-month recovery period. We also compare our results with other studies that use input–output models and discuss how the total regional economic resilience can mitigate economic losses through market substitutions and price changes. |
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