Twister! Employment responses to the 3 May 1999 Oklahoma City tornado

Bradley T. Ewing, Jamie B. Kruse, Mark A. Thompson

Research output: Contribution to journalArticlepeer-review

30 Scopus citations

Abstract

This research examined the impact of the 3 May 1999 tornado on the Oklahoma City labour market. We estimated time series models that allow for time-varying variance in employment growth. The models include intervention variables designed to capture the tornado's effect at initial impact as well as over the post-tornado period. In terms of total employment growth, the Oklahoma City Metropolitan Statistical Area (MSA) experienced an increase in employment growth and a reduction in labour market risk in the sample period following the tornado. The analysis also examined the effect of the weather event on eight industrial sectors. Five of eight sectors experienced significant decreases in labour market risk after the tornado. Our evidence suggests that Oklahoma City and surrounding communities that make up the Metropolitan Statistical Area survived the disaster without suffering any extended adverse labour market effects. Our results indicate that at least in the aggregate, the labour market improved.

Original languageEnglish (US)
Pages (from-to)691-702
Number of pages12
JournalApplied Economics
Volume41
Issue number6
DOIs
StatePublished - Mar 13 2009

ASJC Scopus subject areas

  • Economics and Econometrics

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