Tuesday November 27th I picked up the USA News Paper and I came across a fascinating article called “Wealth Rises in USA’s Heartland”. The main idea of the article is that a boom in oil and gas production is driving up wealth in some rural and small communities while the rest of the country is recovering at a slower drive. According to the article, average income per person fell 3.5% in metropolitan areas between 2007 and 2011 according to data released by the Federal Bureau of Economic Analysis. Despite the downturn in metropolitan areas small towns saw income rise 3.8% per person since 2007. If you want to see a place that highlights this new trend than visit North Dakota; by the way North Dakota is now the nation’s number two oil producer. The richest metro area is Bridgeport-Stamford CT at an income of $78,000 per person. Bridgeport-Stamford was followed by Midland Texas which is rich in oil deposits, followed by San Francisco and San Jose which has a booming tech industry.
If the boom of natural gas continues the rise of wealth in small towns will be a growing trend. For major metropolitan areas of the U.S.A which are concentrated on the coast it doesn’t signal their demise. I actually think it will make major metropolitan areas stronger.
Increase production of natural gas is a great for energy independence. It creates jobs and makes our economy more diverse plus its cleaner than oil. On the other hand its can have a negative impact on the environment if its not done safely. Strong oversight is needed in order to continue natural gas exploration while protecting the environment.