The only difference in 2005 was that unemployment claims did not rise in the fourth quarter with the drop in jobs, as they had done in the past.
It is difficult to draw definitive conclusions as to where these employees went in the fourth quarter of 2005. To do so would be filled with generalizations that do not account for all of the factors involved. However, it can be surmised that in the fourth quarter of 2005, workers in New Orleans went elsewhere and were dispersed into other economies. Statewide numbers do not support a change that is significantly different from other years. Therefore, it does nor= appear that this diaspora had an impact on a state or national level. The only reasonable explanation is that unlike other years, where workers filed unemployment and stuck around the are waiting for first quarter employment to pick up the pace, after Katrina these workers left for higher ground.
On a local level, Hurricane Katrina has a measurable impact on New Orleans and the area surrounding New Orleans. The state of Louisiana had to absorb some of the impact of displaced workers, but the affect becomes diluted in the larger economy of the state. The impact is even more diluted on a regional level. It is hardly noticeable on a national level. There are unique yearly cycles in the local economy that account for some of the changes. However, unemployment figures indicate that Katrina did have the effect of dispersing the New Orleans workforce to other areas of the country.
This analysis takes into account several factors that are ignored by other researchers. Before jumping to conclusions about the impact of an event on the economy, one must examine the normal cycles that exist within the area. These must be ruled out as an explanation for the events under investigation before the affects of an unusual event can be blamed for the pattern. One anomaly appears in the labor records of New Orleans that indicates that Katrina had a significant impact on the local economy of New Orleans. No one will ever know where all of the workers went in the fourth quarter of 2005, but it is highly suggested that they followed a different pattern than in years past. Katrina appears to have a connection to the disappearing labor force of New Orleans in 2005.
Chapter 4:
The second sub-question is what has been the economies (local/national) overall ability to bounce back after Hurricane Katrina?
In the previous chapter, the impact of Katrina on the labor force was examined on three different levels. The greatest impact was felt on a local level in the area surrounding New Orleans. As we moved farther from the path of destruction, the affect was diluted and absorbed on each successively higher level. On a national level, Katrina itself has little direct economic impact. However, the affects of Katrina are unique in the fact that although the direct impact was relatively small, when one considers the indirect affects of Katrina, the nation felt the destruction in a very real manner.
The aftermath of Katrina had economists running algorithms to predict the national and regional impact as fast as their fingers could press the buttons. Predictions ranged from barely noticeable to disastrous (Englund, 2005). Analyst opinions varied widely, based on the factors that they chose to use for their algorithms and their knowledge of the region and its unique economic cycles.
Aside from the economic impact that is a direct loss related to the storm damage, Katrina's destruction had an impact on a wider area due to three important factors. First, Katrina disrupted oil production in the Gulf of Mexico (Englund, 2005). As oil rigs were battened down and abandoned for land, millions of gallons were not being pumped. Some rigs were destroyed or significantly damaged by the storm. Some will never be recovered, others will need costly repairs and much more downtime in order to be returned to pre-Katrina productivity.
The second major impact is that Katrina destroyed a major urban center, New Orleans (Englund, 2005). Businesses could not immediately begin clean up and go on with business as usual after Katrina. They had to wait until the flood waters receded and then some had to rebuild their businesses literally from the ground up. They took a major financial loss as their customer base had been evacuated elsewhere and tourists were reluctant to come to the area.
The third major impact that Katrina has was to disrupt transportation on the Mississippi River...
There is a modern emphasis, which has resulted from the experience of the economic impact of disaster, on a more extensive and 'distributed' mode of thinking about disaster recovery. This is an important factor that should be stressed as it has direct implications in terms of the economic aspects of disaster recovery planning in an increasingly networked and technologized contemporary working environment. This aspect is cogently expressed in a
Economics Scenario In the first phase, the price of coffee increased and thus lured producers into the market. This caused the supply to move up the curve. The increased supply caused the demand to decrease and thus caused the overproduction. The mechanism is shown below graphically. The graph shows the coffee market at an equilibrium price of 3.25. The increase in price caused the supply to rise and the demand to fall. This
For children, going to school, even a new school, provided a sense of order. It also gave parents time to plan for the future. Wealthier parents were able to enroll their children in private schools. Poorer families faced a greater struggle. In Texas, officials reported enrolling19,000 children displaced by the storm (Katrowitz and Breslau, 2005). They were able to waive normal rules, such as proving residency or providing immunization records.
Hurricane Katrina and Economic Implications Hurricane Katrina and the Economic Implications The events of the incident and the economic backlash The 2005 Hurricane Katrina that ended up encompassing the cities of Texas, Mississippi and Louisiana can be termed as one of the most deadly hurricanes to hit the United States of America and left millions of people in absolutely despair along with serious economic implications for the entire country to cope up with.
Hurricane Katrina When former New Orleans Mayor Marc Morial remarked "The New Orleans we all through we knew is dead," he was speaking about not only 2005 natural mega-storm Hurricane Katrina, but the events and effect the disaster would have on the City of New Orleans that even today still reverberate. The events surrounding the aftermath of Hurricane Katrina offer a winsome and remarkable case study regarding the continuing social divide
Planning Efforts to Reduce Future Disaster Impacts This paper looks at options for programs to be put in place before to a disaster to avoid major and often poorly-managed expenditures after a catastrophe and to offer suitable protection against the risk of those large losses which do occur. It is important for the government to provide programs that enlightens the citizens on how to deal with the hazards that come with
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