Report: Energy-producing states fared better after recession

10 23, 2014 by The Hill

Energy-producing states have been able to bounce back faster and more successfully from the 2009 recession than states that import a majority of their energy, according to new research from a group aligned with Republicans.

The American Action Forum found energy-producing states that have been able to leverage the U.S. energy boom have double the rate of income growth of energy importers.

The report also found states that are energy producers have more than double the rate of job growth than states importing energy.

North Dakota, Pennsylvania and Texas are among the states that were able to bounce back quickly given their energy production.

American Action Forum looked at a 10 “major” energy importers for the study, including California, Florida, Nevada, Ohio and Georgia.

According to data from the bureaus of Economic Analysis and Labor Statistics, recovery from the recession in the largest energy producing-states has “greatly outpaced” the recovery in states importing energy.

Since the recession ended in 2009, the job growth each year in producers like North Dakota and Pennsylvania has averaged a 1.5 percent increase. Energy importing states have a job growth rate of .6 percent, according to the report.

Additionally, annual income in energy-producing states has increased 19.8 percent since 2009, compared to an 8.9 percent increase for importers.

It’s important to note that a number of importing states don’t have access to large energy reserves, or have resources that are more difficult to access, which is why they must import energy sources.

The report, like the majority of Republicans, argues for policies that encourage energy development, which it claims would insulate the economy from major international disruptions.