We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Macroeconomic effects of Hurricane Katrina - Essay Example

Comments (0)
Summary
This essay critically evaluates the negative economic effects of Hurricane Katrina on a nationwide scale. This essay aims to provide thorough analysis of the macroeconomic effects of this national disaster. Hurricane Katrina made a major dent in the economies of southern Louisiana and Mississippi…
Download full paper
GRAB THE BEST PAPER
Macroeconomic effects of Hurricane Katrina
Read TextPreview

Extract of sample
Macroeconomic effects of Hurricane Katrina

Download file to see previous pages... Reconstruction activities are expected to restore the level of GDP to what it was before Katrina. Loss of wealth and capital due to Katrina would not influence GDP. GDP is a measure of current activities, not a measure of nation's wealth. GDP would not capture the economic impact nor the devastating loss of life and dislocation associated with Katrina (Reed 4).

4. Katrina's Effect on the Economic Growth

White house economic advisor said in August 31, 2005: "Hurricane Katrina is likely to have only a modest impact on the U.S. economy as long as the hit to the energy sector proves transitory."3 Congressional Budget Office (CBO) expected Katrina to dampen national (inflation-adjusted) economic growth rate by 0.5 to 1 percent only and reduce employment by about 400,000 in the second half of 2005. CBO anticipated that economic growth and employment are likely to rebound during the first half of 2006 as rebuilding accelerates (First 3). The following table summarizes the forecast projections (Reed 3).
Table 1: Estimated Effects of Hurricane Katrina on Economic Growth.4
5. Katrina's Effect on the Labor Force

Katrina destroyed the infrastructure of most businesses in the Gulf Coast. Workers' homes were also destroyed and the labor force decreased substantially in the Coast as people evacuated the area. When reconstruction efforts started pumping money into the region, new jobs started to surface. It would still take time to regain the labor force that existed in the Gulf Coast prior to Katrina. Job losses in the Gulf Coast would overwhelm growth in jobs across the nation (Reed 6).

6. Katrina's Effect on the Consumer Prices and Inflation

It is expected that on the short run, consumer prices will rise due to rise in energy prices....
This essay is one of the best examples of analysis of the destructive impacts of Hurricane Katrina on the American economy. Katrina caused the dislocation of many people, who would need housing, access to health care, education for their children, and means to meet their basic needs.
Destruction of bridges, highways, residential and business property represent a permanent loss in national wealth and capital. Congress has appropriated $62 billion for Katrina relief activities, which would increase budget deficit. Katrina destroyed the infrastructure of most businesses in the Gulf Coast.
Evacuation of the Gulf coast reduced economic activities in the region in the short term, which decreased GDP. Resources that would have been used for investment and spending are now to be used rebuilding. Reconstruction activities generate jobs and income which adds to the GDP. Reconstruction activities are expected to restore the level of GDP to what it was before Katrina. When reconstruction efforts started, new jobs surfaced.
Most economic activities came to a halt as a result of the devastation of Katrina. New Orleans flood accounts for almost half of the total property damage.
Investment in rebuilding the Gulf Coast would allow dislocated inhabitants to return home. Reconstruction activities in the Gulf Coast would help cushion the macroeconomic effect of Katrina. Replacing and rebuilding the capital lost would enable the southern states of Mississippi and Louisiana to regain their abilities to provide their share in national growth. ...Download file to see next pagesRead More
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
SOCIAL EFFECTS OF HURRICANE KATRINA
This article describes the aftermath of the deadliest disaster, the Hurricane Katrina occurred in Gulf Coast region. There were various assumptions regarding the intensity of the disaster and the source of faulty news according to Palser (2007, p. 64) was attributed to the persons at the helm of affairs including Mayor Ray Nagin.
10 Pages(2500 words)Essay
Social effects of hurricane Katrina in the Gulf region
The reason for this is in the aftermath of the 9/11 attacks, in the unilateral vision of the Bush administration, the United States was able to act without restraint from international governing bodies such as the United Nations in conducting foreign policy internationally in a militaristic manner.
12 Pages(3000 words)Essay
Geographical Effects of Hurricane Katrina
Within that period, a massive sum of money and innumerable hours will be required reconstructing the destroyed infrastructures and buildings and severely affected institutions. Although several studies after Hurricane Katrina have showed early recovery inconsistencies motivated by gender and class, hardly any systems or measures are able to capture recovery patterns all over the whole affected territory and over extended time span (Curtis, Duval-Diop & Novak 2010).
16 Pages(4000 words)Thesis
Hurricane katrina
Different stories told by eyewitnesses highlight the severity of the New Orleans police department with lots of malfeasance they committed against civilians. This and many other episodes from the city after Katrina hurricane are well emphasized in the paper aiming at the main concepts and empirical studies the authors managed to collect in the book under analysis.
5 Pages(1250 words)Essay
Disaster Relief Essay
In its course of journey from southern Bahamas to Florida, the hurricane caused dramatic effects causing damage of more than 200,000 residences only in the state of New Orleans (Cashell & Labonte, 2005). With due consideration towards the aspect of continuous destructive impact of Hurricane Katrina, the paper will be focused on evaluating the various responsive steps taken by the Government, Non-Governmental Organizations (NGOs) and other volunteer groups against the devastation that had taken place in the region.
3 Pages(750 words)Essay
Hurricane Katrina
The major blame fell on engineers since it was all about construction. Earlier on, there were levees that had been constructed, but according to the research, it was revealed that there were numerous inadequacies associated with the project. The issue of human safety is very sensitive and in all activities conducted by any professional, safety is the key thing to be considered.
3 Pages(750 words)Essay
Hurricane Katrina
In addition, it has been possible to predict the occurrence of a disastrous event even though the level of precision has been an issue of concern. Disasters in both recent and ancient times have claimed several lives, destroyed property and altered the environment.
3 Pages(750 words)Essay
Hurricane Katrina
There may be some tinkering left to do regarding the story f the worst natural disaster in modern American history-some i's to dot and t's to cross-but the combination f Brinkley's skills as a historian and reporter, his proximity to the tragedy (being a New Orleans resident), and his willingness to call attention to the failures f virtually every key government official up and down the command chain yields a powerful, emotionally affecting book that virtually doubles as an Encyclopedia Katrina.
8 Pages(2000 words)Essay
Hurricane Katrina
After the disaster according to Gallup & Newport (2007), the government asked for assistance from the European Union, asking for medical kits, food stuffs
2 Pages(500 words)Essay
Hurricane Katrina
Many regions were submerged along the coast on differeing wind strengths  in a particular place at some time. There are various perspectives, from which
3 Pages(750 words)Essay
Let us find you another Essay on topic Macroeconomic effects of Hurricane Katrina for FREE!
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us