Journal Article

Oil prices and manufacturing growth: their contribution to Houston's economic recovery

Abstract: The Houston economy went from boom to bust to recovery during the 1980s. Expectations of oil prices at $50 per barrel and higher in the late 70s and early 80s stimulated hundreds of oil-related projects in the area. An oil-price decline, however, led the Houston economy into a sharp recession that lasted from 1982 to 1986. The size of Houston's work force shrunk by more than 12 percent with the loss of more than 200,000 jobs. The late 80s brought renewed economic expansion, and Houston regained nearly 120,000 jobs. ; Robert W. Gilmer examines the Houston Economic recovery and draws six conclusions about the city's economy with respect to the business cycle, the dollar, and the price of oil. He finds that while the city's renewed growth comes primarily in the service sector, oil and gas industries will continue to play an important role in Houston's future.

Bibliographic Information

Provider: Federal Reserve Bank of Dallas

Part of Series: Economic and Financial Policy Review

Publication Date: 1990

Issue: Mar

Pages: 13-22