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The (Uneven) Spatial Distribution of the Bakken Oil Boom

Author

Listed:
  • Johanna Richter

    (Department of Economics and Public Policy, University of Alaska Anchorage)

  • Alliana Salanguit

    (Department of Economics and Public Policy, University of Alaska Anchorage)

  • Alexander James

    (Department of Economics and Public Policy, University of Alaska Anchorage)

Abstract

Resulting from a booming shale-energy sector, from 2007 to 2014, real income per capita in North Dakota increased 40%. Does this reflect the experience of a few oil-rich counties, or were the gains more evenly distributed across the region? We find that the shale boom generated significant economic gains for counties above and near the Bakken, but not for those further away. We also document significant state-border effects which are not easily explained. Conditional on distance to the Bakken region, the shale boom generated limited outward migration from South Dakota and, perhaps as a result, the economic gains that accrued there were muted.

Suggested Citation

  • Johanna Richter & Alliana Salanguit & Alexander James, 2017. "The (Uneven) Spatial Distribution of the Bakken Oil Boom," Working Papers 2017-03, University of Alaska Anchorage, Department of Economics.
    • Handle: RePEc:ala:wpaper:2017-03
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    File URL: http://www.econpapers.uaa.alaska.edu/RePEC/ala/wpaper/ALA201703.pdf
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    References listed on IDEAS

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    Cited by:

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    3. Berry, Kevin & James, Alexander & Smith, Brock & Watson, Brett, 2022. "Geography, Geology, and Regional Economic Development," Journal of Environmental Economics and Management, Elsevier, vol. 115(C).
    4. Grant D. Jacobsen, 2019. "Who Wins In An Energy Boom? Evidence From Wage Rates And Housing," Economic Inquiry, Western Economic Association International, vol. 57(1), pages 9-32, January.
    5. Rodríguez-Puello, Gabriel & Rickardsson, Jonna, 2024. "Spatial Diffusion of Economic Shocks in the Labor Market: Evidence from a Mining Boom and Bust," OSF Preprints tzmf2, Center for Open Science.
    6. Alexander G. James & Brock Smith, 2020. "Geographic Dispersion of Economic Shocks: Evidence from the Fracking Revolution: Comment," American Economic Review, American Economic Association, vol. 110(6), pages 1905-1913, June.
    7. Felipe de S Tavares & Alexandre Almeida & Fernando Postali, 2021. "Does Oil Dependence Affect Regional Wealth? A Regional Study for the Municipalities of the State of Rio de Janeiro," International Journal of Energy Economics and Policy, Econjournals, vol. 11(6), pages 381-391.
    8. Alexander James & Nathaly M. Rivera & Brock Smith, 2022. "Cash Transfer and Voter Turnout," Working Papers wp536, University of Chile, Department of Economics.
    9. Rickman, Dan & Wang, Hongbo, 2020. "What goes up must come down? The recent economic cycles of the four most oil and gas dominated states in the US," Energy Economics, Elsevier, vol. 86(C).

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    More about this item

    Keywords

    Resource boom; Migration; Regional development;
    All these keywords.

    JEL classification:

    • Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development
    • Q33 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Resource Booms (Dutch Disease)

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