High Gas Prices Cost Thousands of Jobs; Approval of Keystone Energy Pipeline Would Help
National Journal reports that our “economy suffered” and jobs were lost as families and small businesses “paid a high premium for their gasoline” this year. The article mentions one particular solution that would help “minimize the odds” of future job-crushing price hikes – approval of the Keystone XL energy pipeline currently delayed by the Obama administration.
The Keystone energy project would also help create more than 20,000 new American jobs. That’s why the House passed the bipartisan North American-Made Energy Security Act (H.R. 1938) requiring the administration to approve or reject the project by November 1.
But despite the urging of House Republicans, criticisms from former White House official Austin Goolsbee, and the president’s own “we can’t wait” campaign rhetoric, the Keystone bill stalled in the Democratic-controlled Senate (along with more than 20 other bipartisan House-passed jobs bills) and the Obama administration has refused to take action.
Here’s an excerpt from the National Journal article highlighting the jobs lost due to high energy prices:
“The U.S. economy missed out on creating up to a quarter-million jobs this year because it lacked the infrastructure to capitalize on a rare divergence in global oil prices, a National Journal analysis shows.
“Simply put, American consumers paid a historically high premium for their gasoline. The economy suffered for it. ...
“Economists at IHS Global Insight project that for every extra $10 per barrel that Americans spend on gasoline, annual gross domestic product growth slows by 0.2 percent. Employment falls by 120,000 jobs. So a $20 per barrel increase over what Americans historically have paid for gasoline, compared to crude oil, would cost the economy 0.4 percent growth and 240,000 jobs. ...
“Energy industry groups say expanding America’s pipeline infrastructure – including potential Obama administration approval of the Keystone XL pipeline to carry oil south from Canada – would minimize the odds of another wide price split in the future.”
As Speaker Boehner said after meeting with Alberta Premier Redford, “needless government delays are just another barrier to long-term economic growth.” It’s time for President Obama to support this job-creating project and urge Senate Democrats to vote on the rest of the bipartisan House-passed jobs bills.
Click on the following links to learn more about the American Energy Initiative and the Republican Plan for America’s Job Creators, both of which are focused on removing government barriers and policies that hold back American energy production, drive up gas prices, and hurt job growth.