Natural gas extraction creates local jobs in the short term

A chart showing how employment and income grew faster in counties with a boom in gas production, years 1999 to 2007.

Using hydraulic fracturing—a method of cracking rock by injecting water, sand, and chemicals under high pressure—drilling companies have increased extraction of natural gas from rock formations like shale. The three Western States of Colorado, Texas, and Wyoming saw large increases in gas production in the 2000s, most of which came from such unconventional sources. Not all counties in each State were close enough to the activity to benefit economically from the boom. On average, counties participating in the gas production boom saw a larger percent increase in employment, wage and salary income, and median household income and a larger decrease in the poverty between 1999 and 2007 than counties not participating. Still, for the scale of extraction that occurred in the three States, the number of jobs added to local economies is multiple times below what has been projected for the development of shale gas formations in Texas, Arkansas, Louisiana, and Pennsylvania. This chart appears in the December 2012 edition of Amber Waves magazine.

Download larger size chart (455 pixels by 388, 72 dpi)