15. In 2005, Hurricane Katrina caused massive destruction to the U.S. Gulf Coast. Tens of thousands of

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15. In 2005, Hurricane Katrina caused massive destruction to the U.S. Gulf Coast. Tens of thousands of people lost their homes and possessions. Even those who weren’t directly affected by the destruction were hurt because businesses and jobs dried up.

Using one of the principles of economy-wide interaction, explain how government intervention can help in this situation.

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Essentials Of Economics

ISBN: 9781429218290

2nd Edition

Authors: Paul Krugman, Robin Wells, Kathryn Graddy

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