The Economic Consequences of Katrina

[Rufus T. Firefly]

According to this About.com article, NO is the busiest port in America and the 3rd busiest in the world by one measure (volume), but doesn't make the top ten by another (# of containers), whereas LA and Long Beach do.

[Dr Strangelove]

You know, you're right. There's only one hope now - we have to annex an oil rich nation. I'm not certain whether it makes more sense to go for one nearby or for one across the globe. One's just a stone's throw away, but most of our troops are residing in the other. It's a close call. Either way we'll probably have to institute the Sheridan Solution.

[:) Smiley]

Economically this will screw the South.

Increased traffic will boost the east and west coasts, while interior manufacturing industries will get a boost from increased cost of imports.

[Rufus T. Firefly]

Originally posted by Smiley
Economically this will screw the South.

Increased traffic will boost the east and west coasts, while interior manufacturing industries will get a boost from increased cost of imports.

And the irony here is that the ongoing shrinking of the federal tax system in favor of state and local taxes -- a cornerstone of Red State conservativism -- means that less money from the booming coasts will find its way to the South.

Nice to know there's a silver lining in all this...

[:) Smiley]

Silver lining? America is turning into Iraq.

[Shi Huangdi]

I read in one article today this could shift Real GDP growth to zero.

The problem with an oil shock is oil is an input for so many industries in the economy. Most of everything people buy is brought in by trucks or by other sources of transports, and rising fuel costs mean more costs for the entire economy. This cost shock could have horrible effects, perhaps the return of stagflation?

[Sprayber]

Originally posted by chegitz guevara


A damn fine drink. You can get it in a cup to go and wander around the French Quarter and get totally sloshed.

It's subtle at first. You think you have complete control until you find yourself sitting at Hooters with no recollection on how in the hell you got there.

[notyoueither]

Originally posted by Dr Strangelove
You know, you're right. There's only one hope now - we have to annex an oil rich nation. I'm not certain whether it makes more sense to go for one nearby or for one across the globe. One's just a stone's throw away, but most of our troops are residing in the other. It's a close call. Either way we'll probably have to institute the Sheridan Solution.

Henry, start digging up the guns.

[Urban Ranger]

Originally posted by germanos
Does this mean that wealth and well-being has nothing to do with economics? In fact that wealth and well-being are opposites of a healthy economy?

While GDP is widely used to measure national wealth, this is one of the reasons why it is a bad measure.

You can increase the GDP of the US a lot by nuking NYC (or another large city) and then rebuilding.

[Az]

GDP weighed against current national assets could be a better. I get what you're saying, UR.

[Dis]

Originally posted by Dr Strangelove
New Orleans has too much historical value to abandon. Where would Americans go for Mardi Gras? Also you have to realise that the Mississippi River is still a major transport route and naturally demands a port where it joins the sea.

I for one, would welcome drunk women lifting up their shirts to show their tits to our great city of Las Vegas. Though it can get cold in Feburary. We could move mardis gras to May.

[Dis]

Don't forget New Orleans is a top tourist destination. And one of the biggest places conventions go to (behind Las Vegas, Chicago, and New York). They are trying to move conventions to Vegas, but our places are booked up.

They are up there with Vegas for their tourism draw.

As for 4th largest port in the U.S. I can believe it. As this would include oil I would think.

[Sikander]

Originally posted by VetLegion
Contaminated with what?

Creole sauce, bearnaise, that sort of thing.

[Solly]

Originally posted by Shi Huangdi
I read in one article today this could shift Real GDP growth to zero.

The problem with an oil shock is oil is an input for so many industries in the economy. Most of everything people buy is brought in by trucks or by other sources of transports, and rising fuel costs mean more costs for the entire economy. This cost shock could have horrible effects, perhaps the return of stagflation?

It's quite probable that this will cause oil prices to drop as a result of a lack of "demand" from refineries. It wouldn't surprise at all if oil and petrol (gas) prices completely de-coupled even further in the coming weeks.

[Dr Strangelove]

No, New Orleans was the United States's BUSIEST port, and the 4th busiest in the WORLD.