Itâs not all economic doom and gloom on network news. In fact, NBC gave its July 9 viewers some good news about the Texas economy and suggested the U.S. as a whole might reap the benefits.
A segment on âNBC Nightly Newsâ showed how the price of oil â a little over $137 a barrel â is reviving the economy in parts of Texas that have long been dormant.
âAsk people in Texas about the economy and theyâre likely to gush,â CNBC senior correspondent Scott Cohn said on âNightly News.â âMatt Levisor is making big money refurbishing these west Texas oil wells â abandoned back when oil was cheap.â
The dramatic decline in the housing industry over the past 10 months has cast a shadow over the entire U.S. economy. But according to Cohn, Texas has avoided the worst of the effects in part because of the price of oil.
â[Oil and natural gas are] helping to insulate Texas from the housing crisis,â Cohn said. âHere you donât just bid for the house, you also bid for the mineral rights below.â
âLargely on the strength of its economy and the rising price of energy, Texas climbs to number one in CNBCâs 2008 rankings of âAmericaâs Top States for Business,â overtaking Virginia for the first time,â Cohn noted. âTexas just passed New York as home to the most Fortune 500 companies â 58. The economy here [is] growing about 4 percent a year â four times as fast as the rest of the country.â
Utah, Idaho and Colorado rounded out the rest of CNBCâs. But if Texas continues to prosper and is able to produce more oil and wealth, it wonât be just Texas benefiting in the long run, but the entire country said NBC.
âFor now, Texasâ gain is the rest of the countryâs pain,â Cohn said. âBut if it means more energy produced at home, the boom in Texas could pay off nationwide.â
According to the Energy Information Administration, Texas is an energy-generating powerhouse. Texas is the leading crude oil-producing state in the United States. Its 25 petroleum refineries can process more than 4.6 million barrels of crude oil per day â accounting for one-quarter of the U.S. refining capacity. The state also leads the United States in capacity for wind-powered energy generation.