Doctor of Philosophy, The Ohio State University, 2017, Agricultural, Environmental and Developmental Economics
Recent innovations in hydraulic fracturing methods and micro-seismic technology along with rising oil and gas prices have led to oil and gas booms in various U.S. shale plays. While this appears to be a positive step forward, it is still unclear whether directly impacted local communities benefit from unconventional gas development. The three essays in this dissertation model and analyze the relatively unexplored short- and long-term externalities associated with energy-related economic booms on local labor market outcomes, human capital migration, and occupations, providing valuable insights on how local communities are impacted by oil and gas development.
The first chapter analyzes the short- and long-run economic impacts of oil and gas boom on local labor market outcomes. I use a unique dataset with annual employment at 4-digit North American Industry Classification System codes to estimate the direct demand effects of shale gas development in the 2000s. For the long-run, I exploit the multiple booms and busts from the 1970s to 1990s to address the existence of resource curse in resource-intensive economies. Using a difference-in-difference methodology, this paper accounts for the heterogeneity in energy experience over time and across regions. It also explores whether pre-boom level of locally available human capital and history of energy extraction influence how a region responds to the energy boom. The results suggest that oil and gas developments have positive multiplier effects on the short- and long-run job and income growth. The modest positive multiplier effect in the long run implies that the benefits of oil and gas production might decline in the long run, suggesting that increased reliance on natural resources over time could make communities more vulnerable.
The second chapter uses individual-level data from the American Community Survey to estimate the impact of shale booms on U.S. interregional migration, while considering both origin and d (open full item for complete abstract)
Committee: Mark Partridge (Advisor); Alessandra Faggian (Advisor); Ani Katchova (Committee Member)
Subjects: Economics; Energy; Labor Economics; Regional Studies