Post-Disaster Recovery and Economic Impact of Catastrophes in China

Abstract

This paper implements a temporal–spatial recovery measurement of the catastrophic 1976 Tangshan earthquake using available statistical data. The results show that the gross regional product (GRP) level of the Tangshan region achieved a new normality after seven years. During this recovery process, net indirect losses totaled RMB3.7 billion and net indirect gains totaled RMB3.9 billion at the 2007 price level. The area surrounding the Tangshan region benefited from the disaster, both in terms of GRP level and per capita GRP level, at least in the short term. The sector-level economic recovery process seems longer. The production level of the construction sector was 0.9 to 2.5 times that of the pre-disaster level during its 11-year recovery period. The per capita GRP level of the Tangshan region was 1.7 times that of pre-earthquake 30 years later. This quantitative disaster recovery analysis is critical for validating or initializing economic loss estimation models.