Wednesday, August 31, 2005

Katrina could hurt GDP growth?

Hmm seems like Action Economics thinks so. This part of the article is especially worrisome:

About a third of the petroleum produced in the U.S. (which meets 45% of U.S. demand), is from the Gulf of Mexico, and 90% of that moves through Louisiana, according to Biz New Orleans, which reports on business and financial information. Also, New Orleans is a major port for importing oil, via offshore facilities for unloading supertankers that send oil to the mainland. The oil travels through underwater pipes via New Orleans.

Lets hope that refinery and deep water port in New Orleans isn't really badly damaged. Or there will be lingering effects of this hurricane that last long after the people have moved back and the houses are rebuilt.

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