Abstract
The U.S. government established a national weather organization in 1870. Changes in Great Lakes cargo and hull losses, and shipping rates from Chicago to Buffalo, provide evidence of the value of storm warnings on the Great Lakes. Nearly half of the Great Lakes storm-warning stations were closed during the fall of 1883 because of appropriations reductions. This exogenous shock permits the econometric estimation of the value of storm-warning locations on the Great Lakes. The results indicate that the social rate of return for weather expenditures during the Weather Bureau's founding period was at least 60 percent.
Document Type
Restricted Article: Campus only access
Publication Date
12-1998
Publisher Statement
Copyright © 1998, American Economic Association.
The definitive version is available at: https://www.jstor.org/stable/116860
Recommended Citation
Craft, E. D. (1998). The Value of Weather Information Services for Nineteenth-Century Great Lakes Shipping. The American Economic Review, 88(5), 1059–1076. https://www.jstor.org/stable/116860
