Around 30,000 workers would be out
of jobs in a typical September and nearly 3 million people reported working
part-time because of the weather. Had it not been for the hurricanes, job
growth would have been positive and would have set a new record of 84th
consecutive month. “Jonathan
Wright, an economist affiliated with the Brookings Institution, estimated that
Friday’s report would have shown a 67,000 increase in jobs had it not been for
the effect of the hurricanes” In addition, Chief economist at indeed.com, Jed
Kolko also mentioned that September’s employment declines dramatically. “Employment
in the leisure and hospitality sector, for example, which includes hotels,
restaurants and other weather-dependent businesses, was cut by 111,000 jobs in
September” Kolko.
https://www.nytimes.com/2017/10/06/business/economy/jobs-effect-hurricane-harvey-irma.html?rref=collection%2Fsectioncollection%2Fbusiness-economy
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The hurricanes have been an interesting topic to research as it has a direct impact on the US economy. Some were debating whether the hurricanes would increase job growth due to clean up. But from seeing these statistics, it seems as there is only a negative impact on job growth. The number of people not as work due to bad weather was about 1.5 million workers.
ReplyDeleteCatastrophe bonds are one of the ways governments can insure against economic problems arising as a result of natural disasters. governments have to make up not only money for relief and rescue efforts, but also to try and make up for the developmental shortfalls that arise due to slowdown of the economy. The world bank issues catastrophe bonds against the capital market, and the strength of these markets, which usually generate high interest bonds due to the nature of the insurance, can be a sufficient protection against said natural disasters. Areas such as the carribean which suffer constant risk of natural disaster can do effective research and planning on a collateral level( as many countries are affected) and pool capital resources.
ReplyDeletehttps://blogs.worldbank.org/voices/disaster-risk-using-capital-markets-protect-against-cost-catastrophes