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. 2021 Sep 8;152:106306. doi: 10.1016/j.jbankfin.2021.106306

Fig. 5.8.

Fig. 5.8

Compound risk indicator showing the non-linear amplification effects resulting from the compounding of COVID-19 and climate shocks happening in 2020. The x-axis shows the timeline of the simulation until 2024 on an annual basis. The y-axis shows the value of the CRI indexed against the sum of the individual event scenarios of hurricane only and COVID-19 only, at 100. The vertical dotted line represents the starting point of the input shocks, which occur during 2020. Two compound scenarios are considered, i.e.: (i) COVID-19 and mild hurricane scenario (red line) and (ii) COVID-19 and strong hurricane scenario (purple line). Being an index, we do not present results in percentage terms. (For interpretation of the references to colour in this figure legend, the reader is referred to the web version of this article.)