Opinion Columns & Blogs

Ag, oil and gas don’t have huge economic impact

Agriculture and oil and gas are important to the Kansas economy but don’t have as big an impact as many people think. According to data from the U.S. Bureau of Economic Analysis, in the fourth quarter of 2015 those sectors combined accounted for 4.3 percent of the state’s gross domestic product, the Lawrence Journal-World reported. Even in fiscal year 2012, when oil and gas prices were at their peak, severance taxes were projected to make up only 1.6 percent of total state revenues. The largest private-sector industries in Kansas, according to BEA, are manufacturing (15 percent of total gross state product), real estate and rental and leasing (10.6 percent), and wholesale and retail trade (10.5 percent), the Journal-World reported. Government services accounted for 15.3 percent of the state’s total economy. – Phillip Brownlee