Disasters, Development, and Social Capital: Understanding Economic Recovery After Earthquakes in Nepal

Speaker: Arun Agrawal, Samuel Trask Dana Professor, University of Michigan

Abstract: Two successive earthquakes in 2015 wiped out nearly half of Nepal’s GDP with stunningly high negative effects particularly for the poor. Using household data before and after the earthquake for the Middle Hills of Nepal, we examine economic recovery from earthquake impacts in Nepal. The research focuses in particular on the degree to which involvement in development programs, and levels of social and human capital endowments, help predict household level economic recovery from effects of large scale disasters. In addition to assessing the role of development programs and human vs social capital, we also describe how research findings can inform proactive disaster recovery.