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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsFive states are getting crushed by low oil prices
http://www.businessinsider.com/five-states-are-getting-crushed-by-low-oil-prices-2015-12Following big tax windfalls from a decade-long U.S. energy boom, the crash in oil prices has blown open a hole in the budgets of big oil-producing states.
A lot, however, depends on how heavily those states rely on oil tax revenue to pay the bills.
Among the top oil producers, Alaska has been hit hardest by the plunge in crude prices, largely because it relies so heavily on oil taxes.
Though it ranks fifth among oil-producing states, nearly 90 cents of every dollar of the state's operating revenue comes from the oil industry, according to Moody's.
With oil prices trading at roughly a third of 2014 levels, Alaska's take from oil taxes has fallen nearly 60 percent from last year. The state faces a $2.7 billion deficit in the current fiscal year.
Texas, on the other hand, is feeling a lot less budget pain. Though the state is the largest U.S. producer, the state gets about 10 cents of every tax dollar from oil and gas production.
The state also has a much more diversified economy, which helps blunt the impact of lost revenues from energy production. And lower prices have even helped boost revenues, according to Moody's, because lower gasoline prices have helped trigger consumer spending, which has raised sales tax revenue...................................
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Five states are getting crushed by low oil prices (Original Post)
ErikJ
Dec 2015
OP
Javaman
(62,531 posts)1. Texas learned it's lesson from the '80's oil bust.
it was a ghost land here in Austin.
Maeve
(42,286 posts)2. In the '80's, they referred to the boom-bust cycle
As the 'Oklahoma Two-Step' (yeah, 'Texas Two-Step' there, but we lived in OKC). Texas was able to diversify, Oklahoma, not so much.
dembotoz
(16,811 posts)3. just checked again.....nope no tears from me
pampango
(24,692 posts)4. When states or countries rely on commodity (oil, gas, coal, etc.) exports, the boom-and-bust
cycle is exaggerated. When times are good they are very good. When times are bad they are very bad.
Facility Inspector
(615 posts)5. holy fuckloads of drillers going belly up
$4000 paychecks and new monster trucks quickly becoming a thing of the past.
RV ghost towns in the oil patch.
Shut downs galore.
trumad
(41,692 posts)6. I anticipate that someday some states will be crushed coastal flooding.