How Supply Chain Disruptions Led to a Wide Economic Impact of 2011 Japan Earthquake
15 March 2021
Supply chains can render localized environmental disasters into a much larger economy-wide downturn, according to Professor Carvalho at the Faculty of Economics.
New research co-authored by Professor Vasco Carvalho, uncovers the role of complex and lengthening supply chains play in propagating the impact of disruptions brought about by local disturbances, such as natural disasters, terrorist attacks or localized shutdowns.
It is the 10 year anniversary of the Fukushima earthquake. While the subsequent tsunami destroyed coastal towns and triggered a nuclear meltdown in the city of Fukushima, it is not so much the local devastation that caused problems for the Japanese economy, but rather the disruption to nationwide supply chains that ensued.
