Connect with us

Economics

Road casualties are wasting 6% of Thailand’s GDP

The TDRI research team found that Thailand wasted approximately 545 billion baht a year in road casualties during 2011-2013, accounting for 6% of the country’s annual GDP.

Avatar

Published

on

For many years, Thailand has earned notoriety in the area of road fatalities. High death tolls, mostly resulting from reckless driving, have prompted the state and its partners to invest enormously in road safety campaigns, with less-than-impressive results, however.

The World Health Organisation in its Global Road Safety Report in 2015 ranked Thailand as having the second most deadly roads in the world. To put this into perspective, for every 100,000 people in Thailand, about 36 die in road crashes a year.

Road fatalities soar during the festive seasons, the New Year and Songkran traditional New Year, when many Thais travel upcountry.

Despite intensive road safety campaigns, this year’s death tolls were still high, 478 during New Year, compared to 390 during Songkran. The number of road crashes was nearly 4,000 in both festivals.

Road crashes not only affect accident victims, but they also contribute to immeasurable losses for the Thai economy.

Traffic accidents result in productivity loss for the victims and their families

On top of that, they also incur other indirect costs such as administrative expenses, public property damage, traffic congestion, and so on.

Thailand’s integrated traffic accident statistics, in accordance with databases developed during 2011-2013 by the Ministry of Public Health, the Royal Thai Police, and Road Accident Victims Protection Company, show that about 22,000 people die on Thai roads every year, while the traffic-related severe injuries toll is 108,000 a year. These numbers unequivocally add up to over half a trillion baht of economic loss.

The Thailand Development Research Institute (TDRI) conducted research on road safety, focusing on the losses from traffic deaths and injuries, in Saraburi from May last year to this month. We employed the “Willingness to Pay” approach in the research, “Road Safety Measure Assessment Project: The case of Tha Luang and Kaeng Koi”.

More specifically, the research team surveyed how much locals were willing to pay to reduce road casualties in the areas and used the answers to calculate the value of lives.

According to the study, the value of deaths and severe injuries equalled 10 million baht and 3 million baht, respectively.

The research team uses these numbers to estimate a total economic loss for the whole country since Saraburi can represent the country’s semi-urban areas.

The research team found that Thailand wasted approximately 545 billion baht a year during 2011-2013, accounting for 6% of the country’s annual GDP.

Interestingly, the team further found that despite the high risk of traffic fatalities, many Thais attach little importance to road casualties.

The research mentioned above shows that 27% of the survey respondents do not perceive road accident risks as an issue of concern. Another 38% of respondents also say they only regarded the problem as of moderate importance. Also, 2% of the respondents were not willing to pay anything to reduce the risk of road casualties in a hypothetical situation.

The lack of awareness of road safety problems leads to dangerous driving behaviour. With that matter, raising awareness can mitigate the issue.

US academic Sam Peltzman looked into behavioural economics and road safety and found that people tend to flirt with risk when they feel safe. Therefore, the more people are aware of traffic accident risks, the more carefully and responsibly they drive.

Natcha O-charoen

Natcha O-charoen is a researcher at Thailand Development Research Institute (TDRI). Policy analyses from the TDRI appear in the Bangkok Post on alternate Wednesdays.


First Published:  Bangkok Post on September 27, 2017
Source link

Advertisement
Comments

Economics

NESDB projects 1.5-2.5 percent growth in 2020

With help from the government’s economic measures, the National Economic and Social Development Board (NESDB) is expecting the Thai economy this year to grow just 1.5-2.5 percent.

National News Bureau of Thailand

Published

on

Construction Workers in Bangkok

This year, the country’s economy is facing another big concern from the COVID-19 virus situation. With help from the government’s economic measures, the National Economic and Social Development Board (NESDB) is expecting the Thai economy this year to grow just 1.5-2.5 percent.

(more…)

Continue Reading

Economics

COVID-19 Set to Dampen Asean and China’s Economic Growth

The SARS outbreak provides a useful benchmark, but there are significant differences between that epidemic and the latest one.

Boris Sullivan

Published

on

Coronavirus Asia

The ongoing coronavirus outbreak will dampen economic growth in China this year, but the scale of the impact remains uncertain and will depend on the duration and intensity of the health crisis, says Fitch Ratings.

(more…)

Continue Reading

Economics

Bank of Thailand expects 3% economic growth in 2021

Bank of Thailand has released its latest forecast for the Thai economy, expecting growth of more than 3 percent in 2021

National News Bureau of Thailand

Published

on

The Bank of Thailand has released its latest overview of the Thai economy, which it expects will grow more than 3 percent in 2021.

(more…)

Continue Reading

Must Read

Upcoming Events

Mar 11

Food science conferences

March 11 @ 8:00 am - March 12 @ 5:00 pm BMT
Mar 11

Food science conferences

March 11 @ 9:00 am - March 12 @ 5:00 pm BMT
Mar 22

41st World Dental Science and Oral Health Congress

March 22 @ 9:30 am - March 23 @ 5:00 pm BMT
Mar 26

8th Anti-Corruption Compliance Asia Pacific Summit 2020

March 26 @ 9:00 am - March 27 @ 5:30 pm SMT

Press Release

Subscribe via Email

Enter your email address to subscribe and receive notifications of new posts by email.

Join 12,189 other subscribers

Trending