Quantifying the socio-economic impacts of harmful algal bloom in Southwest Florida in 2018 and Red tide and peer-to-peer accommodations: A multi-regional input-output model approach

Event Date: 17 November 2021

Speaker: Christa D. Court is an Assistant Professor of Regional Economics in the Food and Resource Economics Department at the University of Florida and directs the UF/IFAS Economic Impact Analysis Program

Time: 4pm

Location: Please contact Rachel Hill (r.hill@strath.ac.uk) for Zoom details

Abstract: "Increases in the incidence or severity of hazard events significantly alter the attractiveness of tourism destinations and the tourism inflow. In 2018, a significant Red Tide event limited access to marine and coastal areas in Florida, heavily impacting the tourist sector. The purpose of this study was to estimate the economic impacts of red tides in the state economy through the shock in the Airbnb market. We combined microdata on Airbnb properties and water sample records and estimated that every water sample, indicating the presence of Red Tide conditions within a county decreases the average daily price of Airbnb rentals by $0.45 and the number of reservation days by 345. This event generated $317 million in sales revenues losses and resulted in the loss of nearly 2,900 job-years throughout Florida. Knowledge of such consequences is essential to inform decision-making processes for policy makers and tourism management professionals."

If you would like to read the full paper, please click here and here.

Published: 16 November 2021