In August I reported that economic disasters seem thin-tailed, and so are not existential risks. Even so, it seems we should still devote more attention to them: What is the likelihood that the U.S. will experience a devastating catastrophic event over the next few decades — something that would substantially reduce the capital stock, GDP and wealth? … How much should society be willing to pay to reduce the probability or likely impact of such an event? We address these questions using a general equilibrium model that describes production, capital accumulation, and household preferences, and includes as an integral part the possible arrival of catastrophic shocks. …