Stay or Go?

Should I stay or should I go now?
If I go there will be trouble
An’ if I stay it will be double
So come on and let me know!
- lyrics by The Clash

Whenever I have the opportunity to watch BBC news, I’m always impressed by the extensive coverage of world news. American news networks rarely talk about world events unless there is a presidential visit or bad news in a US overseas war. That may explain how I failed to learn about the huge impact of an earthquake in China one year ago.

According to CNN.com, on May 12, 2008, at 2:28 p.m., Sichuan province was hit by an 8.0 magnitude earthquake. The quake could be felt over 1000 miles from the epicenter. It killed at least 68,712 people, with 17,921 missing, and more than 374,000 injured. More than 15 million people where displaced from their homes. CNN notes that, “One year after the quake struck, China is still counting the toll. “

One scandal following the quake is the Chinese government’s attempt to block any investigation of shoddy construction of school buildings. It took an entire year for the government to be shamed into releasing the student death toll. Only a few days ago did the government acknowledge that , “Thousands of schools collapsed in the earthquake, trapping students under the debris. Among the victims, 5,335 students died or are missing.” – CNN. Protesting parents and investigative reporters have been harassed and accused of prying into "state secrets."

Chinese officials claim that post-quake reconstruction is progressing well and point to 1 million new houses built in rural areas and 33,000 new apartments in cities with hundreds of thousands of more housing units are under construction. The government says it has helped nearly 1.3 million quake victims find new jobs. But if 15 million people were displaced and if each family has exactly one child (Chinese law), then only 1 in 5 of the affected families have new housing. Were 4 million families able to move and buy homes elsewhere? Or are they living in “prefabricated housing camps.”

Bottom Line

The effects of massive disasters like the Sichuan earthquake or Hurricane Katrina persist long after the media and rescue workers have gone. Homes, businesses, schools, and infrastructure must be rebuilt before lives can return to a level of normalcy. This can take years.

Don’t wait for government to “make things right.” Sometimes the best option is to move away and start a new life in a region not impacted by disaster. Of course millions of others may have the same idea but still the competition for jobs and homes should be less the further away you get from the disaster zone. House insurance may help you afford buying a new home elsewhere – BUT check your policy now. Are earthquakes covered? Most policies exclude flood and require an additional flood rider. Insurers are notorious for finding ways to avoid paying you, especially during large scale devastation when the cost to them is quite high.