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The Relation Between International Trade and Death Tolls from Natural Disasters
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
2018 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Natural disasters have increased over the last two decades, but the deaths stemming from disasters have not. At the same time, there has been a global increase in international trade. This thesis therefore aims to investigate the relationship between international trade and the death tolls from natural disasters. This is done by first discussing potential mechanisms through which trade could affect the damage caused by disasters: namely through GDP, spillover effects, a demand surplus leading to faster recovery, increased financial aid and resource collapses. Panel datasets are then used together with OLS-models with fixed effects to answer the research question. The results reached in this thesis state that when investigating the relationship between international trade and death toll on an annual basis (disregarding disaster type and magnitude), there seems to be a positive, although insignificant effect, meaning that a higher level of trade increases the deaths per disaster. When looking at the effect for different disaster types, there is a negative effect for four out of seven disaster types where only the estimate for storms is significant. When including disaster impact, positive and significant results are found for extreme temperatures while the estimate for storms still is negative and significant. A brief investigation of the mechanisms show that the effects go in the hypothesized direction except in the case of international trade and financial aid.

Place, publisher, year, edition, pages
2018.
National Category
Economics
Identifiers
URN: urn:nbn:se:uu:diva-356965OAI: oai:DiVA.org:uu-356965DiVA, id: diva2:1237648
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Available from: 2018-08-09 Created: 2018-08-09 Last updated: 2018-08-09Bibliographically approved

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