Independent assessment looks at effects of tax policy that led to recent growth
Oklahoma City (January 14, 2014) – An independent study released today by the State Chamber Research Foundation provides an in-depth examination of the oil and gas industry and how tax policy led to an amazing resurgence.
“This study clearly shows the importance of the oil and gas industry to the state in a way everyone can understand,” said Fred Morgan, president and CEO of the State Chamber of Oklahoma. “The report does not make policy recommendations but instead is intended to serve as a benchmark research document to assist state policymakers in fully evaluating the economic role of the industry and any potential effects that changes in state tax policy may produce.”<--break->The report, from Oklahoma-based RegionTrack, Inc., finds that oil production has nearly doubled since 2010 while natural gas production is up almost 50 percent in the same period. With over three thousand wells drilled in 2012 at an average cost of over four-million dollars, the oil and gas industry invested more than 12-billion in capital just to drill.
“Forming tax policy has always been challenging for policymakers in an energy-producing state,” said Dr. Mark Snead, economist and president of RegionTrack, who authored the study. “My belief is that this report will help them better understand the complex linkages between state tax policy, the oil and gas industry and the state economy.”
The report can be viewed online at the State Chamber Research Foundation website.
About the State Chamber Research Foundation
Since 1981, the State Chamber Research Foundation has worked in partnership with state business leaders, economists and university researchers to advance and fund activities in public policy research that promote the future of Oklahoma.