This week’s Sentiment Survey special question asked AAII members what impact they expect this summer’s storms will have on the economy. Many of the respondents expect both a short-term negative impact from Harvey’s damage and a long-term positive impact from the rebuilding. Broken into overlapping groups, 43% of respondents expect economic growth to be hurt initially, while 38% expect growth to rebound over the longer term. An additional 22% think the storms will have limited or no impact.
Here is a sampling of the responses:
- “A drag for a brief period following the storms. Then a pickup in housing and materials.”
- “May hurt some insurers, but may actually increase the economy slightly due to the rebuilding process.”
- “Neutral impact. Most things will remain unchanged in the economy.”
- “An opportunity for energy companies to raise prices. Financial/insurance industry will take a hit.”
- “Little, if any long-term impact.”
If you want to become an effective manager of your own assets and achieve your financial goals, consider a risk-free 30-day Trial AAII Membership.