When Oklahoma chose oil subsidies over educating children
The victims are Oklahoma’s children. In 2014, oilmen in the state struck a sweet deal with politicians for a package of tax breaks and subsidies totaling $470 million in just one year. But now that oil prices have fallen, the state has found itself short of cash to pay for services like public education. As a result, Oklahoma has cut its education budget by $58 million so far and more cuts should be expected for next year.
The lesson here is that when politicians give out special deals to businesses, the public ultimately suffers. In this case, kids may not get a proper education because state politicians chose to subsidize oil drilling. Oil and gas production tax revenue in Oklahoma dropped over 30 percent even though oil prices and output soared. The tax subsidies to oil companies account for this staggering loss.
When Oklahoma chose oil subsidies over educating children - CapX
The victims are Oklahoma’s children. In 2014, oilmen in the state struck a sweet deal with politicians for a package of tax breaks and subsidies totaling $470 million in just one year. But now that oil prices have fallen, the state has found itself short of cash to pay for services like public education. As a result, Oklahoma has cut its education budget by $58 million so far and more cuts should be expected for next year.
The lesson here is that when politicians give out special deals to businesses, the public ultimately suffers. In this case, kids may not get a proper education because state politicians chose to subsidize oil drilling. Oil and gas production tax revenue in Oklahoma dropped over 30 percent even though oil prices and output soared. The tax subsidies to oil companies account for this staggering loss.
When Oklahoma chose oil subsidies over educating children - CapX
