Economists: SoCal Will Survive With Little Long-Term Damage

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Despite the destruction of more than 1,600 homes and buildings, massive evacuations and widespread business closures, Southern California's vast, diverse economy probably will withstand this latest disaster with little long-term damage, economists say.

In fact, some observers see a boon to areas such as construction, which is down 28,600 jobs through September, a 3% decline from the previous year, according to the state Employment Development Department.

"In the odd nature of economic accounting, this will probably be a stimulus," said Alan Gin, a University of San Diego economist. "There will be a huge amount of rebuilding in the next couple of years, financed by insurance payments."

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