Environmental AbstractNatural Disasters

Fortunately, non all part of the world are subject to every type of disaster, which heart and soul that battalion in any one area endure to prepare only for those disasters which are likely to occur in their area. Such preparation locoweed take the form of evolution evacuation programs and finding ways to minimize damage some(prenominal) to people, livestock and proportion. This research examines the economic effects of native disasters, with supernumerary emphasis on devil major disasters occurring in the mid-nineties: the floods of the Midwest in 1993 and the earth agitate in Southern calcium in 1994.

When a natural disaster hits an area, the first open-and-shut effect is to the infrastructure. Communication lines are severed, and it can be some(prenominal) hours before utilities and communications reach even a fundamental level of service, depending on the type of disaster. Many types of natural disasters, such as tornadoes and hurricanes, involve some type of warning so that emergency communication stations and auxiliary g everyplacening offices can be set up before the need for their office actually occurs. Other types of disasters, such as earthquakes, provide no such warning, with the result that the surrounding populace is taken by surprise.

After a disaster has hit an area, businesses are ruined and homes are lost. Residents must find temporary lodg

As a result of the disruptions to the transportation system, two consequences occurred that would stomach other than taken years to develop. One was a significant increase in ridership on a modern metro rail system in the Southern atomic number 20 area. Rail lines suffered only minor damage in the quake (29 cars derailed on the Southern Pacific line, but the damage was not serious) and the metro rail system became an attractive alternative to Californians who would otherwise not give up their cars ("How Railroads Rode Out the Quake" 18).

The insurance industry is ill-equipped to handle a series of natural disasters of the magnitude which have recently struck the United States.

Hurricanes, floods, fires and earthquakes have left millions in need of assistance; many of these did not have adequate insurance even to cover their losses.

Lehren, Andrew W. " late Events are Beating Up Insurers." Philadelphia Business Journal 12 (August 2, 1993): 1, 34.

Some government and private measures have been put into nonplus which are designed to do survivors begin their lives anew, or help them to rebuild, if that is their choice. As population centers increase in the numbers of people they serve, and as technology and construction brings about higher property values, the costs associated with natural disasters is likely to continue to increase.

The federal government has established the Federal Emergency Management Agency (FEMA) to press assistance in these situations, and the Small Business Administration (SBA) offers low-interest loans to businesses who motive to rebuild after disaster strikes. In addition, many companies and individuals get catastrophe insurance appropriate for the area in which they live, and trust on benefits from that insurance to give them the resources they need in station to rebuild their communities.

For the American insurance industry, these events resulted in insurance companies either becoming insolvent or being taken over by regulators. M
Order your essay at Orderessay and get a 100% original and high-quality custom paper within the required time frame.