Economic Impact of Oil and Natural Gas Industry in 2021

This report is a technical document that quantifies the economic impacts of the oil and natural gas industry on the United States economy for the year 2021. It outlines the direct, indirect, and induced impacts of the industry, which stem from employment and production activities, as well as the industry’s purchases of goods and services. The analysis reveals that the industry supported approximately 10.8 million jobs, accounting for 5.4 percent of total US employment. The report details the labor income generated, which amounted to $908.7 billion, representing 6.4 percent of national labor income, and the total impact on GDP, which was nearly $1.8 trillion, or 7.6 percent of the national total. The findings indicate that the oil and natural gas industry has significant economic effects across various states and congressional districts, with Texas and California showing the highest levels of employment attributable to the industry. The document also includes detailed results by sector, state, and congressional district, as well as an overview of the methodology used for the analysis.