2006-09-11 14:37:02 · 4 answers · asked by hoboinacan 1 in Social Science ➔ Economics
Huge impact because the stock and bond markets were shut down for several days, the airlines were grounded in the US and quite a few were forced into voluntary bankruptcy, even Air Canada besides the US airlines. The price of oil spiked, there was a huge increase in military spending in the US and the UK. Many Mid Eastern and foreign students had difficulty obtaining US visas and international enrollment at US universities plummeted. In the Middle East, huge amounts of wealth which had been sucked into the US stock market Internet boom, were repatriated to the Middle East, fueling stock and property markets there. There was a subsequent upsurge in Islamic-type banking. And finally there was a sharp downturn in foreign travel by Americans, who feared terrorists were out to get them.
There was a lull in the former "war on drugs" by the US, as resources were redirected to the "war on terror". So the economic impact of 9/11 was substantial.
2006-09-11 16:22:55 · answer #1 · answered by hellbent 4 · 0⤊ 0⤋
For the Military it was the best they had for decades, and it will pour into their laps supply R&D contracts as well as training and maintenance contracts. They will flourish and Economy from their point of view will be great and nice, on the other hand from consumers stand point it is desasteous since prices of goods and services will or have increased and will increase more to pay for that bill. To encounter that the Administration has taken care and frightened the US citizens enough and covered itself with laws and regulations that allow them this luxury.
2006-09-12 23:16:39 · answer #2 · answered by Anonymous · 0⤊ 0⤋
most of the things that i were to write are already covered by hellbent. however there are some other effects. a huge increase in remittences has occured due to which banks in developing countries had enough money to invest in local stock exchanges. stock markets outside us has also shown rise through this respect. foriengn flying companies have also benifited.
2006-09-13 02:31:00 · answer #3 · answered by Yasir Saeed 2 · 0⤊ 0⤋
It depends on how you define economic impact. Read here:
http://www.cigionline.org/publications/docs/g20.princeton.krugman.pdf
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2006-09-12 06:05:44 · answer #4 · answered by NC 7 · 0⤊ 0⤋