Granted, we are stymied at every turn, but there is still a chunk of the US economy related directly to drilling for oil right here in the US.
Oil revenues (royalty, taxes) help keep the state in the black, as well as provide the basis for a great deal of spinoff employment.
$20.00 would stop Bakken Drilling, and other horizontal drilling projects almost overnight, and would shut down developing energy projects from pipelines to alternative sources as well.
As for tax dollars funding the alternative energy projects, the money to print the money has to come from somewhere.
Keep in mind that 1999 led to the runup to 147.00/bbl, and each successive runup in price finds a higher floor later as more infrastructure projects get scuttled, drilling shuts down, wells deplete, and experienced people say goodbye to 24/7/365 all-weather work environments with no real job security and leave for something more stable and with better benefits.
You are correct and look for bankruptcies.