Abstract

Complex disasters have the evolutionary features developed from natural disasters to social crises. Moreover, complex disaster management involves serious social conflicts among multiple stakeholders including the polluting enterprise, nearby residents and local government. In this paper, we follow the holism paradigms to analyze complex environmental catastrophes from the viewpoint of disaster cycle, which is described as the three-phase dynamic game model. The paper reveals some important insights on complex disaster management. Whether the problematic enterprise takes the informational disclosure strategy or not depends on the nearby residents’ actual protest behavior. For risk-averse residents, the local government has to provide larger environmental compensations as risk premium. The increasing residents’ protest input should help to improve the compensation and to increase the cleaner production investment. The problematic enterprise’s global optimal production investment shall decrease considering the environmental tax. Thus, the global optimal solution in complex environmental catastrophes is completely different from the local optimal solution in the perspective of reductionism.

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