Macroeconomic co-benefits of DRR investment: assessment using the Dynamic Model of Multi-hazard Mitigation CoBenefits (DYNAMMICs) model

Purpose The authors present a dynamic macroeconomic model for assessment of disaster risk reduction (DRR) policies under multiple hazards. can be used to analyze and compare various potential in terms their economic consequences. decomposition these effects into benefits helps policy makers other stakeholders better understand the ex ante ex-post advantages DRR investments. purpose this paper is address issues. Design/methodology/approach A real business cycle at core research. In natural hazards modeled stochastically cause shocks economy. Economic outcomes, most importantly, output assessed before after disasters policies. aims quantify concept triple dividends. Findings case study applications Tanzania Zambia, find that investments physical infrastructure transfer instruments generate variety even absence disaster. land use restriction with planned relocation example reduces short run but long increases it. Overall, interventions evolve nonmonotonic manner should evaluated over period time using simulation. Originality/value novelty lies quantification described dividends literature. This comparing , volatility-related related financial investment options. As observed studies, also identify overlooked temporal heterogeneity co-benefits