As a former Floridian, here's what I know about Hurricane economics:
* People need gas. Gas stations run out. It's illegal for people to pay more for gas companies to ship extra. People struggle to travel before and after the hurricane.
* People evacuate and buy hotel rooms. Hotels are required charge normal prices. People have little incentive to make efficient use of rooms, and they run out. People struggle to evacuate.
* After 2004 hurricanes, home insurance companies try to increase prices. State passes law limiting premium increases. Insurance companies drop coverage for unprofitable high-risk properties. State creates a government-run pool for people insurance companies can't insure. Thus, taxpayers get to subsidize property insurance for rich people on the coast.
STOP MESSING WITH THIS! If you really insist on throwing supply out of whack, can you at least not do it during a natural disaster??? Things are crappy enough as it is. Thanks.
* People need gas. Gas stations run out. It's illegal for people to pay more for gas companies to ship extra. People struggle to travel before and after the hurricane.
* People evacuate and buy hotel rooms. Hotels are required charge normal prices. People have little incentive to make efficient use of rooms, and they run out. People struggle to evacuate.
* After 2004 hurricanes, home insurance companies try to increase prices. State passes law limiting premium increases. Insurance companies drop coverage for unprofitable high-risk properties. State creates a government-run pool for people insurance companies can't insure. Thus, taxpayers get to subsidize property insurance for rich people on the coast.
STOP MESSING WITH THIS! If you really insist on throwing supply out of whack, can you at least not do it during a natural disaster??? Things are crappy enough as it is. Thanks.