Last modified: 2019-08-14
Abstract
Indonesia is a country that has high disaster intensity in the world. This factor is quite risky for the domestic economy. There is still few researchers in the relationship between economic variables and the disaster, but it is actually interesting to be done. This study aimed to see whether the death from disasters is influenced by macroeconomic variables such as the level of prosperity proxy with GDP per capita, the level of trade openness, the role of government proxy with government spending and the quality of human capital. To obtain better results, so this study used two regression techniques, they are Ordinary Least Square (OLS) and Generalized Linear Model (GLM) with a Negative Binomial Regression approach (NBR). This research data was derived from the EM-Dat Statistics, Mu Nichre, UNSIDR and BNPB (Indonesian Board for Disaster Management). The output of this research is to provide policy recommendations of the macroeconomic variables which could mitigate the disaster death rate and is expected to reduce the losses that will occur. If disaster risks in the future are not mitigated from now, it will obstruct the ability of a country to achieve the main goal of the country itself. We find that GDP per capita, level of trade openness and government spending has a relationship with death because of disaster.