When the price of oil is this low, lots of jobs are lost. Drillers are idle, not purchasing replacement/new equipment. Equipment builders are not selling anything and have to lay off people. Suppliers to them aren’t selling anything and are having to lay off.
As long as the price is below the break even point, this will continue. It is a ripple effect and goes all through society. The article only refers to direct oil and gas jobs.
yes, but if you deny there’s a ripple effect in the other direction, you’re not being intellectually honest.
When gas prices are low, consumer spending explodes, and as we all know, that’s the biggest juicer of job creation.....consumer spending. Leads to booms in housing, autos, vacations, business creation, and general overall optimism.
This is how economics works. The problems really happen when the change is so big and so quick that normal economic fleshing out doesn’t have time to occur. That’s been the unhappy history of energy since 2005...spiking way up and way down rapidly.