Quake warning would cause huge economic tremors
TOKYO, Aug. 29, Kyodo - In the event the government issues a warning that a massive earthquake could strike central Japan's Tokai region, subsequent economic losses could reach up to 345. 1 billion yen per day, a government council said Thursday.
It is the first time that the Central Disaster Management Council calculated the economic impact of a warning for the so-called ''big one.''
Losses, however, could be reduced to 170 billion yen per day depending on various factors, such as the resumption of economic activity when the warning is lifted, council sources said.
The long-feared earthquake, possibly with a magnitude of 8 on the Richter scale, is anticipated to strike the region just southwest of Tokyo in the future when the Philippine Sea plate buckles due to a pressure buildup caused by the Eurasian plate slipping underneath it.
The prime minister is responsible for issuing the warning to the Japanese public at which point traffic would be drastically restricted and financial institutions and department stores must close down in high-risk areas.
Eight prefectures would be placed under high alert -- Tokyo, Kanagawa, Yamanashi, Nagano, Gifu, Shizuoka, Aichi and Mie.
They would see total losses of up to 200.2 billion yen per day for all industries, except for infrastructure-related sectors like gas and water.
But this figure could fall to 87.5 billion yen per day if manufacturing and construction industries can resume operations after the warning is lifted, the sources said.
In addition, areas not covered by intense monitoring measures in Tokyo, Kanagawa, Saitama and Chiba prefectures are also expected to incur 8.7 billion yen in losses because 20% of commercial and transport sectors are expected to cease operations, the sources said.
Transport services are also expected to take a financial hit.
A total of 15.6 billion yen in losses is expected to be generated if the Tokaido Shinkansen Line and the Tomei and Chuo expressways are suspended and people cancel travel plans.
The council calculated the figures based on premise that the warning is issued a weekday, which would have greater economic impact, and lasts three days. |
