Comments on: Serious floods lead to broken windows http://www.corkeconomics.com/?p=760 A blog from staff of the Department of Economics, University College Cork Tue, 02 Mar 2010 12:46:40 +0000 hourly 1 By: Declan Jordan http://www.corkeconomics.com/?p=760&cpage=1#comment-3970 Declan Jordan Fri, 04 Dec 2009 12:03:24 +0000 http://www.corkeconomics.com/?p=760#comment-3970 Richard Tol responds (indirectly) to your argument. http://bit.ly/614itv Richard Tol responds (indirectly) to your argument. http://bit.ly/614itv

]]> By: Richard Tol http://www.corkeconomics.com/?p=760&cpage=1#comment-3957 Richard Tol Thu, 03 Dec 2009 15:39:19 +0000 http://www.corkeconomics.com/?p=760#comment-3957 Seamus: You may want to reread what I said and wrote: http://www.irisheconomy.ie/index.php/2009/12/02/keynes-and-floods/ It certainly is silly to flood the country for the benefit of restoration. But flood restoration is an economic stimulus. It brings in insurance money. It reduces the savings rate. It increases consumption. It employs people. All in the short run. This is a silver lining only. We'd rather not have the cloud. But a cloud with a silver lining is better than a cloud without a silver lining. Seamus: You may want to reread what I said and wrote: http://www.irisheconomy.ie/index.php/2009/12/02/keynes-and-floods/

It certainly is silly to flood the country for the benefit of restoration.

But flood restoration is an economic stimulus. It brings in insurance money. It reduces the savings rate. It increases consumption. It employs people. All in the short run.

This is a silver lining only. We’d rather not have the cloud. But a cloud with a silver lining is better than a cloud without a silver lining.

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