Economic component in the causes and consequences of emergencies


  • Oleksandr Olegovich Trush National Technical University "Kharkiv Polytechnic Institute", Kharkiv, Ukraine
  • Dmytro Anatoliiovich Gorovyi National Technical University "Kharkiv Polytechnic Institute", Kharkiv, Ukraine
Keywords: classification, fan matrix, causal relationship, costs for overcoming the consequences, insurance

Abstract

Purpose – to elucidate the «economic nature» of an emergencies, to expand the list of reasons for the formation and consequences of the emergencies, taking into account the economic component, and to provide a description of their interrelation in this process.

Design/Method/Approach. This work evaluates and summarizes studies that provide economic characteristics and assess the causes and consequences of a emergencies.

Findings. An analysis of previous studies on emergencies pointed to a limited focus on economic issues associated. In this paper, the authors substantiated the feasibility and proposed to highlight the economic component in the  management of prevention of emergencies,  in the management of minimizing negative consequences and to consider this component in the classification of types of emergencies. This work focuses on the causal link between economic costs for the prevention, elimination and elimination of the effects of emergencies (economic losses) in the emergency management system. The examples have proved that all of the emergency preceding processes are economical, that emergency actions are limited to an economic factor, and that emergency situations can have economic consequences. An economic component can be both a cause and a consequence of an emergency. At the same time, the economic causes of emergencies directly affect only the economic consequences (inflation - impoverishment of the population), and their impact on the remaining consequences - indirect, due to the impact of other factors-consequences.

Theoretical implications. This research identifies a new classification group "economic circumstances" in the classification of types of emergencies for the causes of the emergence and spheres of manifestation of the consequences.

Practical implications. The isolation and systematization of the economic component of emergencies allows us to take into account the economic factor in the development of appropriate prevention algorithms, actions in emergencies or actions to eliminate the negative effects of these events.

Originality/Value. The originality of the work is to illustrate the connection between the cause of emergencies and each of its manifestations with the help of the fan matrix. This approach has allowed a clearer outline and a clear indication of the causal relationship in the processes associated with the emergency situation. For example, a causal relationship with the types of emergencies based on the economic component is illustrated with the aid of a fan matrix.

Research limitations/Future research. This research is the basis for further improvement of approaches to the estimation of economic indicators of emergencies taking into account the proposed classification groups of types of emergencies.

Paper type – theoretical.

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Author Biographies

Oleksandr Olegovich Trush, National Technical University "Kharkiv Polytechnic Institute", Kharkiv, Ukraine

Ph.D. in Public Administration, Professor, Vice-Rector for Scientific and Pedagogical Work

Dmytro Anatoliiovich Gorovyi, National Technical University "Kharkiv Polytechnic Institute", Kharkiv, Ukraine

Doctor of Economics, Professor, Professor of  Economics and Marketing Department

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Published
2018-12-25
How to Cite
Trush, O., & Gorovyi, D. (2018). Economic component in the causes and consequences of emergencies. European Journal of Management Issues, 26(3-4), 126-135. https://doi.org/10.15421/191813