Economic impact of droughts

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  • Farmers have to spend more money to drill new wells or buy water in tankers.
  • We (farmers) have to get less money because the crops are not growing.
  • Businesses and Industries are losing money because farmers are not buying farm equipment from us.
  • People are losing money because there is less rain so that means dryer conditions and bush fires.
  • When hydro-energy companies operate below capacity they have to spend more on electric generators or close production.
  • Dried out water bodies may close down water recreation that are connected to businesses.
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