Is the Iceland Volcano the Next Black Swan?
httpv://www.youtube.com/watch?v=dyZoQNInlI0 The world has been obsessed with Greece’s credit ratings and earth shattering quakes. But is Iceland’s volcanic eruption the real black swan?
So far, Iceland’s Eyjafjallajokull (ay-yah-FYAH-lah-yer-kuhl) volcano has pulled the reigns on Europe’s economy by grounding air travel. What if the volcano continues to erupt? Some scientists fear a larger eruption at the nearby Katla volcano which sits on the massive Myrdalsjokull icecap.
Undoubtedly, the smoke from these massive eruptions can quickly become a concern for more than the economy. We go about our daily lives making the ultimate assumption that tomorrow will be much like today, but the future is absolutely unknown. There is the possibility that these type of volcanic eruptions can not only cancel flights, but also cause major freezes and hazardous air pollution.
The USA Today reports, “”When Katla went off in the 1700s, the USA suffered a very cold winter,” says Gary Hufford, a scientist with the Alaska Region of the National Weather Service. “The Mississippi River froze just north of New Orleans, and the East Coast, especially New England, had an extremely cold winter. Depending on a new eruption, Katla could cause some serious weather changes.”
No one knows whether this situation will continue to escalate. And the mainstream media surely won’t help cause a global panic. But if the Mississippi River freezes in Louisiana, I think the economy will do the same.