Tornadoes and floods less damaging for U.S. national economy

Tornadoes and floods which have killed several people and damaged property in Missouri and southern U.S. states in recent weeks will have a lesser impact on the national economy, analysts believe.

Although devastating on the local economy, the tornadoes that hit Alabama and Joplin, Missouri will not slow down their respective states' economy according to analysts.

It's because the areas hit were not major economic drivers and damage from tornadoes are usually confined to smaller areas compared to other natural disasters such as hurricanes.

There is some concern though that the tornado in Joplin, the deadliest twister recorded since 1947 in the country, certainly won't be the last this tornado season. Future tornadoes and the onset of hurricane season are expected to deal further damage to state economies.

The carnage left by the twister cost Joplin billions of dollars but it will hardly be felt by the Missouri economy since the city accounts for just 2 percent of the state's economic output.

If the Mississippi flooding and the other tornadoes in other areas are considered, it would not make a significant impact on the $15 trillion economic output of the U.S.

Also, reconstruction and rebuilding efforts by residents will eventually boost the local economy, likely reversing the decline in output suffered when the catastrophes hit.

According to the American Farm Bureau Federation, roughly 3.6 million acres of farmland have been damaged by recent flooding when the Mississippi River overflowed. Billions of dollars in crops, fish and livestock have been lost.

What can't be counted is the emotional and psychological impact of these floods and tornadoes to Joplin and other local communities.