The impact of natural disasters on income and wealth inequality in Vietnam
Published: July 25, 2026
doi:10.62831/202504051
Abstract
The study analyzes the impact of natural disasters on income and wealth inequality in Vietnam using the Fixed Effects Model (FEM) regression method with panel data from 63 provinces and cities during the 2018 - 2023 period. The findings indicate that, on average, when a natural disaster occurs, per capita income decreases by 1.451%, and this income decline leads to a 0.558% increase in the poverty rate based on the multidimensional poverty standard. Notably, regions affected by natural disasters experience greater income inequality fluctuations compared to
unaffected regions. The higher the frequency of natural disasters, the greater the inequality in income distribution. These results highlight the vulnerability of the poor to economic and social shocks. Based on these findings, the study proposes several policy implications to mitigate the negative effects of natural disasters on income and wealth inequality in Vietnam.
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