Kashiwagi, Yuzuka; Todo, Yasuyuki2021-10-052021-10-052020-01N/AN/A2313-65372313-6545https://www.adb.org/publications/postdisaster-policies-supply-chains-japan-earthquakehttps://hdl.handle.net/20.500.14540/5841This study evaluates the impact of “group subsidies,” a policy intervention to repair and reinstall damaged capital goods and facilities of small and medium-sized enterprises after the Great East Japan earthquake. A positive effect of the subsidies on small recipient firms’ postdisaster sales and employment was found in the study. There was also a positive indirect effect of the group subsidies on firms in disaster-hit prefectures that did not receive any group subsidy but were linked through supply chains with a recipient firm. The results indicate the propagation of postdisaster policy effects through supply chains.26DisastersEarthquakesEconomicsSmall and medium enterpriseTsunamis