Molina, Renato; Rudik, Ivan - National Bureau of Economic Research - 2024
What is the impact and value of hurricane forecasts? We study this question using newly-collected forecast data for … major US hurricanes since 2005. We find higher wind speed forecasts increase pre-landfall protective spending, but erroneous … under-forecasts increase post-landfall damage and rebuilding expenditures. Our main contribution is a new theoretically …