@techreport{Belasen2008hurricanes,
abstract = {This paper adopts a generalized-difference-in-difference (GDD) technique outlined in Ariel R. Belasen and Solomon W. Polachek (IZA Discussion Paper #2976) to examine the impact of hurricanes on the labor market. We find that earnings of the average worker in a Florida county rises over 4% within the first quarter of being hit by a major Category 4 or 5 hurricane relative to counties not hit, and rises about 1\textonequarter{}% for workers in Florida counties hit by less major Category 1-3 hurricanes. Concomitantly, employment falls between 1\textonehalf{} and 5% depending on hurricane strength. On the other hand, the effects of hurricanes on neighboring counties have the opposite effects, moving earnings down between 3 and 4% in the quarter the hurricane struck. To better examine the specific shocks, we also observe sectoral employment shifts. Finally, we conduct a time-series analysis and find that over time, there is somewhat of a cobweb with earnings and employment rising and falling each quarter over a two-year time period.},
address = {Bonn},
author = {Ariel R. Belasen and Solomon W. Polachek},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {J23; 330; Exogenous shock; difference-in-difference estimation; local labor market; earnings; employment; sectoral shifts; Sturm; Regionaler Arbeitsmarkt; USA; Arbeitsmarkt; Besch\"{a}ftigung; Lohn; Florida},
language = {eng},
note = {urn:nbn:de:101:1-2008032097},
number = {3407},
publisher = {IZA},
title = {How hurricanes affect employment and wages in local labor markets},
type = {IZA discussion papers},
url = {http://hdl.handle.net/10419/35104},
year = {2008}
}
