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Human Capital Accumulation and Disasters: Evidence from the Pakistan Earthquake of 2005
Resource type
Report
Authors/contributors
- Andrabi, Tahir (Author)
- Daniels, Benjamin (Author)
- Das, Jishnu (Author)
Title
Human Capital Accumulation and Disasters: Evidence from the Pakistan Earthquake of 2005
Abstract
We trace the effects of a devastating earthquake that occurred in Northern Pakistan in 2005. Using a new
dataset from a survey conducted four years after the earthquake, we first show that the distance of the
household from the fault line was not correlated with pre-existing household characteristics, while it was strongly
predictive of earthquake-related damage and mortality. Through emergency relief aid, households living close to
the fault line reported receiving substantial cash compensation that amounted to as much as 150 percent of their
annual household consumption expenditure.
Four years after the earthquake, there were no differences in public infrastructure, household or adult outcomes
between areas close to and far from the fault line. However, children in their critical first thousand days at the
time of the earthquake accumulated large height deficits, with the youngest the most affected. Children aged 3
through 15 at the time of the earthquake did not suffer growth shortfalls, but scored significantly worse on
academic tests if they lived close to the fault line. Finally, children whose mothers completed primary education
were fully protected against the emergence of a test score gap. We estimate that if these deficits continue to
adult life, the affected children could stand to lose 15 percent of their lifetime earnings. Even when disasters are
heavily compensated, human capital accumulation can be critically interrupted, with greater losses for already
disadvantaged populations
Institution
UKAID, Australian Aid, Gates Foundation, and Oxford Policy Management
Date
2020
Language
en
Short Title
Human Capital Accumulation and Disasters
Citation
Andrabi, T., Daniels, B., & Das, J. (2020). Human Capital Accumulation and Disasters: Evidence from the Pakistan Earthquake of 2005. UKAID, Australian Aid, Gates Foundation, and Oxford Policy Management. https://riseprogramme.org/publications/human-capital-accumulation-and-disasters-evidence-pakistan-earthquake-2005
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