Another major earthquake on New Madrid is inevitable, geologists say

It’s a bleak scenario. A massive earthquake along the New Madrid fault kills or injures 60,000 people in Tennessee. A quarter of a million people are homeless. The Memphis airport — the country’s biggest air terminal for packages — goes off-line. Major oil and gas pipelines across Tennessee rupture, causing shortages in the Northeast. In Missouri, another 15,000 people are hurt or dead. Cities and towns throughout the central U.S. lose power and water for months.

Losses stack up to hundreds of billions of dollars. Fortunately, this magnitude 7.7 temblor is not real but rather a scenario imagined by the Mid-America Earthquake Center and the Institute for Crisis, Disaster and Risk Management at George Washington University. The goal of their 2008 analysis was to plan for a modern recurrence of quakes that happened along the New Madrid fault more than 200 years ago, in 1811 and 1812.

No one alive has experienced a major earthquake in the Midwest, yet geologists say it’s only a matter of time. That puts a lot of uncertainty on disaster officials. Their earthquake precautions — quake-resistant building codes, for example — have never been reality tested. Some question if enough has been done to strengthen existing buildings, schools and other infrastructure.

It is difficult to prepare for a geological catastrophe the public cannot see and has never experienced. “We mostly react to disasters, and it’s been extremely rare that we get ahead of things,” said Claire Rubin, a disaster response specialist in Arlington, Va. “A lot of hard problems don’t get solved. They get moved around and passed along.” Read more >>

Farmers Fight Rise In Hay Thefts

As if it’s not bad enough that Missouri farmers are trying to survive the worst drought in decades, now many of them are facing a new problem that’s costing them big bucks.

Missouri Farm Bureau president Blake Hurst says thieves are actually targeting those big bundles of hay that are left out in fields prior to being harvested, hauling them off and selling the valuable commodity.

“Of course, no one brands their hay so if you hook onto it with your tractor or your pickup and make it out the gate, then it’s impossible to prove where the hay came from,” Hurst said.

With winter approaching and grass dying out, the price for fresh hay to feed livestock is on the rise, and Hurst says that makes unguarded bales a tempting target. Read more >>

Beef Herd Tumbles To 40-Year Low On Feed Cost Surge

The worst U.S. drought in a half century and record feed prices are spurring farmers to shrink cattle herds to the smallest in two generations, driving beef prices higher.

Beef output will slump to a nine-year low in 2013 after drought damaged pastures from Missouri to Montana, the U.S. Department of Agriculture estimates. The domestic herd is now the smallest since at least 1973, and retail prices reached a record last month, USDA data show. Cattle futures may rise 8.5 percent to an all-time high of $1.35 a pound in Chicago in the next 12 months, said Rich Nelson, the chief strategist at Allendale Inc. who has tracked the market for 15 years.

Feedlots are losing $300 a head this month fattening cattle for slaughter, after corn surged 64 percent since June 15, University of Missouri data show. JBS (JBSS3) SA, the largest beef producer, fast-food chain Wendy’s Co. (WEN) and Red Robin Gourmet Burgers Inc. are among those planning price increases. The USDA expects food inflation of as much as 4 percent in 2013, compared with an average of 3 percent since 2004. A United Nations gauge of global food costs jumped 6.2 percent in July. Read more >>

Missouri House Votes for Gold and Silver Tender

(Image credit: Getty Images via @daylife)

On Thursday, HB1637, the Missouri Sound Money Act passed the House, making Missouri one of two states with a sound money still alive in 2012. South Carolina is the other, and is scheduled to vote on their bill next week. The bill simply adds gold and silver as legal tender alongside Federal Reserve notes, giving the citizens of Missouri a choice in currency:

“The Missouri Sound Money Act of 2012 is established which changes the laws regarding legal tender as follows: (1) Specifies that gold and silver issued by the federal government is legal tender in Missouri;”

It was not smooth sailing in the Show Me State. A significant number of representatives attended a press conference at the Governor’s mansion when the morning vote was held. Thus, the opposition erupted in celebration when they unexpectedly defeated the bill by a single vote, after which the morning session was immediately adjourned. More...

580,944 initial unemployment claims filed last week

UNEMPLOYMENT INSURANCE WEEKLY CLAIMS REPORT

The advance number of actual initial claims under state programs, unadjusted, totaled 580,944 in the week ending July 18, a decrease of 90,298 from the previous week. There were 411,408 initial claims in the comparable week in 2008.

The advance unadjusted insured unemployment rate was 4.7 percent during the week ending July 11, an increase of 0.1 percentage point from the prior week. The advance unadjusted number for persons claiming UI benefits in state programs totaled 6,231,108, an increase of 57,168 from the preceding week. A year earlier, the rate was 2.4 percent and the volume was 3,164,970.

Extended benefits were available in Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, the District of Columbia, Florida, Georgia, Idaho, Illinois, Indiana, Kentucky, Maine, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nevada, New Jersey, New York, North Carolina, Ohio, Oregon, Pennsylvania, Puerto Rico, Rhode Island, South Carolina, Tennessee, Vermont, Virginia, Washington, and Wisconsin during the week ending July 4.

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