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The cost of things increase during a crisis because there is a potential for scarcity. When things can be depleted, they become highly demanded, which warrants and increase in price.

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Q: Explain why the cost of everthing goes up immediately when disasters hit an area?
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What is the main economic activity in the area immediately surrounding Dresden?

What is the main economic activity in the area immediately surrounding Dresde?


When did gas prices start going up?

When Natural Disasters occur in an area where they have refineries


Explain why online business might have difficulty limiting the effects of actions to a relatively small geographic area?

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How do tornadoes affect the economy like jobs business and money?

Jobs: While there may be jobs added in some fields, such as contruction, in many cases employees will have to be laid off as workplaces have to be rebuilt or repaired. Jobs may be lost locally as some people will move away rather than rebuild in the same area, Business: Construction and contracting businesses will benefit, due to reconstruction, but most will suffer as they will have to rebuild or close for repairs, which means lost revenue in the mean time. Some businesses may also lose productivity with workers who are injured or killed. In terms of money, there will be some circulation, but most of this will go to construction and repair. Many will lose money paying insurance deductibles or replacing uninsured property. The Government is prepared to supply relief for tornadoes and other disasters, but this is balanced out by higher taxes. In general, the economic disadvantages that come with natural disasters such as tornadoes outweigh the advantages. Think about Haiti or Japan. They have lost a great amount of money due to their natural disasters (tourism, real estate...).


Explain the advantages of tourism to economy?

tourists require a place to stay food to eat and entertainment therefore they spend usually a high amount of money over a short period of time as a bonus they are bringing money from other states or countries thus increasing the prosperity of the area visited

Related questions

When disasters hit an area the cost of everything seems to go up immediately food water housing gas and so forth Explain why this phenomenon may be a good thing using the laws of supply and demand?

When disasters hit an area the cost of everything seems to go up immediately food ,water, housing, gas. Explain why this phenomenon may be a good thing in the used of supply and demand ?


What is the connection between natural disasters and migration?

Natural disasters are a cause for migration. Everybody would want to migrate to another country if there were always natural disasters occurring in their area.


What natural disasters in the plateau area of India?

earthquake cyclones


What is a disaster hotspot?

a disaster hotspot is an area in which disasters are more likely to occur


What natural disasters happen in qatar area?

elmo flooded the land when he cried.


Why do radiation disaster affect larger area than chemical disaster?

Radiation disasters are made for spreading, so it more dangerous than chemical disasters


What is the main economic activity in the area immediately surrounding Dresden?

What is the main economic activity in the area immediately surrounding Dresde?


Is Japan a disaster prone area?

Yes, Japan is prone to natural disasters. :)


When did gas prices start going up?

When Natural Disasters occur in an area where they have refineries


What natural disasters happen in Louisiana?

New Orleans is an area of the United States prone to a couple of different natural disasters. The area is prone to hurricanes and tornadoes.


What natural disasters might occur in Iceland and why are they not expected to occur in the Tiber?

Iceland has volcanic activity which creates a significantly different condition for natural disasters. Earthquakes in Iceland for example might actually be aided in volcanic activities. Tiber has a multitude of different possibilities for natural disasters including earthquake and avalanches as well. Also, historically speaking, Tiber has been subject to significant flooding in the past. Natural disasters can happen anywhere, frequency of such disasters will be different for different areas thus making it look like one area gets disasters while another area does not.


What damage can natural disasters cause?

It depend what the disaster is. Natural disasters can affect just a small, local area in one country - or the whole planet (as happened with the Icelandic volcano eruption).