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Social media communication during natural disasters and the impact on the agricultural market

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  • Platania, Federico
  • Hernandez, C. Toscano
  • Arreola, Fernanda

Abstract

When a natural disaster occurs, it is crucial to establish appropriate channels of communication between government agencies and the public, not only in the interest of efficient emergency responses and relief operations but also to inform the population and contain people’s concerns. In this paper, we study how the social media activity of government agencies involved in disaster management affects the agricultural market during natural disasters and extreme weather conditions. Our results suggest that social media activity, in particular that of the Federal Emergency Management Agency (FEMA), triggers market-related and public concerns about potential shortages and financial losses, which may push up the price of agricultural commodities. We show that higher levels of public concern about global warming and economic policy uncertainty intensify the market reaction, boosting the social media impact.

Suggested Citation

  • Platania, Federico & Hernandez, C. Toscano & Arreola, Fernanda, 2022. "Social media communication during natural disasters and the impact on the agricultural market," Technological Forecasting and Social Change, Elsevier, vol. 179(C).
    • Handle: RePEc:eee:tefoso:v:179:y:2022:i:c:s0040162522001263
    DOI: 10.1016/j.techfore.2022.121594
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    Cited by:

    1. Messeni Petruzzelli, Antonio & Mora, Luca & Natalicchio, Angelo & Platania, Federico & Toscano Hernandez, Celina, 2024. "Consumers’ reaction to sci-fi as a source of information for technological development: An empirical analysis," Technovation, Elsevier, vol. 132(C).
    2. Saura, Jose Ramon & Ribeiro-Navarrete, Samuel & Palacios-Marqués, Daniel & Mardani, Abbas, 2023. "Impact of extreme weather in production economics: Extracting evidence from user-generated content," International Journal of Production Economics, Elsevier, vol. 260(C).
    3. Khalfaoui, Rabeh & Mefteh-Wali, Salma & Viviani, Jean-Laurent & Ben Jabeur, Sami & Abedin, Mohammad Zoynul & Lucey, Brian M., 2022. "How do climate risk and clean energy spillovers, and uncertainty affect U.S. stock markets?," Technological Forecasting and Social Change, Elsevier, vol. 185(C).
    4. Jiawang Zhang & Jianguo Wang & Shengbo Chen & Siqi Tang & Wutao Zhao, 2022. "Multi-Hazard Meteorological Disaster Risk Assessment for Agriculture Based on Historical Disaster Data in Jilin Province, China," Sustainability, MDPI, vol. 14(12), pages 1-25, June.
    5. Platania, Federico & Toscano Hernandez, Celina & Moreno, Manuel & Appio, Francesco, 2023. "The impact of public attention during the COVID-19 pandemic," Finance Research Letters, Elsevier, vol. 58(PA).

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