2019/07/05(Source: FCオーナーズ運営事務局)
Typhoons are becoming more frequent. Many people are likely having to change their plans.
As the old saying goes, "When the wind blows, the cooper profits," changes in weather, even temporarily, affect the economy of a region.
Typhoons have both positive and negative economic effects.
Positive economic effects:
- Increased workload for infrastructure companies due to typhoon damage
- Increased activity in taxi and delivery service businesses
- Increased sales for online and mail-order businesses as more people stay indoors
- Rapid increase in dam water levels
- Increased work for cleaning companies
Negative economic effects:
- Decrease in sales for the restaurant industry
- Losses for the travel industry, such as airlines and travel agencies, due to cancellations
- Decrease in visitors and sales for the entertainment industry
- Significant damage to agriculture
These are just some of the various effects.
Overall, typhoons generally reduce the number of people going out, so economic activity won't increase significantly. However, as mentioned above, some businesses may experience temporary demand. Stock prices tend to fall, except for companies that provide weather and disaster information, and construction-related companies.
However, as you may have noticed from TV news, discussions about the economic impact of typhoons sometimes include morally questionable content, so they are generally not discussed publicly. Typhoons cause homes to collapse and people to die. Furthermore, some people face double hardship as they have to take on additional mortgage payments to buy a new home after their old one is destroyed. When considering the economy and business, we tend to focus on objective analysis, but we must not forget the suffering of those who are enduring such hardship.
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