Defining and Measuring Economic Resilience from a Societal, Environmental and Security Perspective (eBook)

Adam Rose, Research Professor, Price School of Public Policy, and Center for Risk and Economic Analysis of Terrorism Events (CREATE), University of Southern California, Los Angeles, California 

Foreword to the IDRiM Book Series 7
Japan 7
Disaster Prevention Research Institute 7
International Collaboration 8
Major Research Contributions 9
Europe 11
Integration via Regulation: European Union Experience 11
International Institute for Applied Systems Analysis (IIASA) 14
The USA 16
Multidisciplinary Center for Earthquake Engineering Research 16
Natural Hazards Center 18
Center for Risk and Economic Analysis of Terrorism Events (CREATE) 19
Low-Income Countries 21
National Interdisciplinary Centers in the Global North 22
International Centers 23
National and Regional Centers in the Global South 24
Summary 25
Other Contributions 26
Conclusion 28
References 28
Preface 33
References 36
Contents 38
About the Author 40
Chapter 1: Introduction 41
1.1 Human Development and Resilience 42
1.2 Overview 44
References 45
Chapter 2: Economic Framework 46
2.1 Basic Principles 46
2.1.1 Welfare Economics 46
2.1.2 Stocks Versus Flows 47
2.1.3 Double-Counting 49
2.1.4 Direct Versus Higher-Order Effects 49
2.2 Non-market Effects 51
2.3 Distributional Considerations 53
References 54
Chapter 3: Defining Resilience Across Disciplines 57
3.1 Ecological Origins 57
3.2 Individual Resilience 58
3.3 Community Resilience 59
3.4 Engineering 60
3.5 Organizational Behavior 61
3.6 Planning 62
References 63
Chapter 4: Economic Resilience 66
4.1 Basic Concepts 66
4.2 Microeconomic Resilience 68
4.3 Meso and Macro Resilience 74
References 75
Chapter 5: Broader Dimensions of Economic Resilience 77
5.1 Commonalities with Other Disciplines 77
5.2 Multiple Dimensions 78
5.3 Vulnerability and Resilience 79
5.4 Sustainability and Resilience 80
5.5 Adaptation and Resilience 81
References 83
Chapter 6: Measuring Economic Resilience 85
6.1 Temporal Aspects and Resilience Metrics 85
6.2 Spatial Dimensions and Businesses 87
6.3 Spatial Dimensions and People 91
6.4 Scale 92
References 93
Chapter 7: Empirical Analysis 95
7.1 Findings 95
7.2 Resilience Indicators 97
7.3 Construction of a Resilience Index 100
References 103
Chapter 8: Risk Management 105
8.1 Cost-Effectiveness 105
8.2 Benefit-Cost Analysis 107
References 109
Chapter 9: Co-benefits 110
9.1 Integration into Business Culture and Sustainability Planning 111
9.2 Shortfalls in Private Sector Investment in DRM 113
9.2.1 Private Sector Investment Decisions 113
9.2.2 Private Sector Investment and the Public Sector 114
9.2.3 Private Sector Co-benefits 115
9.2.4 Bounded Rationality 116
9.3 Co-benefits of Public Sector Investment 117
9.3.1 Co-benefits to Society 117
9.3.2 Co-benefits to the Private Sector 118
9.4 Resilience Dividend as a Sustainable Development Theme 119
9.4.1 No Regrets Strategy 119
9.4.2 Shared Growth and Social Benefits 120
9.4.3 Environmental Benefits 121
References 121
Chapter 10: Conclusion 123
Reference 125