Starting in late January, Massachusetts has been battered by major snowstorms that have blocked roads, buried parking spaces, and caused widespread power outages. MBTA service has been limited, and even shut down in places. Snow and ice continues to block roads, keeping people away from shops and restaurants and impeding industrial and agricultural operations.
According to Christopher Geehern of the Associated Industries of Massachusetts, employees are having trouble getting to work, and companies are having difficulties distributing their products. Industrial businesses are also spending a lot of time on snow removal.
Here are some other ways the snow is impacting the economy.
Insurance broker Marsh & McLennan in Worcester is seeing more claims for ice dams on roofs that have caused leaking and collapses. Jerry Alderman, president of property and casualty in New England, expects an increase in auto claims from snow and ice as well. Snow removal services are stretched very thin.
Economist Michael Goodman said that all the bad weather in January and February could cost the state billions of dollars while, according to a study by IHS Global Insight, a one day shutdown due to snow in Massachusetts would cost the state’s economy about $265 million.