Property rights are the foundation of institutions that shape economic decisions ranging from individual transactions to the performance of a country’s economy. The incentives generated by the institutions in place also translate into measures of vulnerability and recovery in the face of natural disasters. Using the example of Chilean fisheries and the tsunami that affected the country in 2010, I measure how those incentives translate into production decisions before and after the natural disaster under different property right regimes. I find significant evidence that weak property rights over the resource lead to economic inefficiencies. These results contribute to the ongoing discussion of the role of property rights in the economic performance of common property resources, and how productive sectors and countries are affected by and recover from natural disasters.