Economic Damage Assessment of Catastrophe

A Welfare Metrics with the Spatial Computable Equilibrium Model

Abstract

Social capital investments affect not only to investment region's economy but also to other regions economy. This means that demolished social capital stock by catastrophe cause economic damage all over the nation. To assessment these economic damage, we need to build new spatial computable equilibrium model in the context of the production function of social capital stock. In this study, we build these SCGE model and apply this model for assessment of Japanese earthquake.