Selected SLC Research
SLC Regional Resource | March 10, 2015
The latest plunge in oil prices has sent seismic waves throughout the globe, prompting disparate consequences in different sectors of the United States and world economies; while some sectors are net beneficiaries of the decline, other sectors are on the losing end of the falling price of oil. High energy prices pose huge burdens for most Americans, particularly those who drive great distances each day and those who only can turn the thermostats down so low when the weather turns cold. Hence, increasing energy prices result in consumers cutting back on their discretionary spending, a trend that causes negative consequences on state, regional and national economies. However, when energy prices fall, consumers have considerable leeway in devoting these savings toward other expenditures. Meanwhile, tumbling oil prices lead to adverse consequences at several points in the economy with repercussions at both the state and national levels. In that vein, SLC Regional Resource examines the effects of low oil prices on both state economies and the greater nation.