Sandy’s Cost May Hit $50 Billion, Rebuilding to Ease Blow – weather.com

Something wrong with the ideas backing government’s calculating?

Hurricane damage to homes, businesses and roads reduces U.S. wealth. But it doesn’t subtract from the government’s calculation of economic activity.

By contrast, rebuilding and restocking by businesses and consumers add to the nation’s gross domestic product — the broadest gauge of economic production. GDP measures all goods and services produced in the United States.

via Sandy’s Cost May Hit $50 Billion, Rebuilding to Ease Blow – weather.com.

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