From Yahoo News:


WASHINGTON (AFP) - The flooded city of New Orleans will see an unparalleled building boom, US Labor Secretary Elaine Chao confidently predicted after ordering the creation of 25,000 temporary jobs for evacuees.

She said that while Hurricane Katrina was devastating to the immediate region, it was too early to gauge the storm's impact on the US economy.

But America's fabled jazz capital will bounce back, Chao insisted after some voiced doubts over whether the costs of rebuilding the flood-prone city would be worth it.

"Well, certainly in the short term, the regional devastation is very significant. But as for the national impact, we are not quite sure yet," she told the CNBC network.

"But what will happen -- and I have seen this in previous catastrophes and hurricanes -- there is a bright spot in that new jobs do get created," Chao said.

"And in the rebuilding: New Orleans, for example, is going to see one of the biggest construction booms that they have ever seen.