首页|Impacts of negative shocks on wellbeing and aspirations - Evidence from an earthquake
Impacts of negative shocks on wellbeing and aspirations - Evidence from an earthquake
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NSTL
Elsevier
While the influence of adverse shocks on objective measures of wellbeing has been researched in eco-nomics, little evidence exists on the effects of shocks like natural disasters on subjective wellbeing and aspirations. The paper examines the causal links between an adverse shock, the 2006 Yogyakarta earth-quake in Indonesia, and a range of subjective wellbeing outcomes and aspirations. We combine a house-hold survey panel dataset along with the ground shaking activity (Modified Mercalli Intensity) recorded by the United States Geological Survey. The panel data comprises of self-reported measures on current wellbeing, aspirations about future wellbeing, quality of life, and happiness before and after the earth-quake. The results reveal robust evidence that the disaster led to large and significant reductions in sub-jective wellbeing (including those related to children) and future aspirations. Using a follow-up round of data, we find that such declines in wellbeing persisted years after the disaster, calling into policy action encompassing both material and emotional wellbeing that is crucial for post-disaster revival.(c) 2022 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).