[Congressional Record Volume 162, Number 60 (Tuesday, April 19, 2016)]
[Extensions of Remarks]
[Page E519]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]





                          ESSAY BY KAYSIE FAAS

                                  _____
                                 

                            HON. PETE OLSON

                                of texas

                    in the house of representatives

                        Tuesday, April 19, 2016

  Mr. OLSON. Mr. Speaker, I am privileged to interact with some of the 
brightest students in the 22nd Congressional District who serve on my 
Congressional Youth Advisory Council. I have gained much by listening 
to the high school students who are the future of this great nation. 
They provide important insight from across the political spectrum that 
sheds a light on the concerns of our younger constituents. Giving voice 
to their priorities will hopefully instill a better sense of the 
importance of being an active participant in the political process. 
Many of the students have written short essays on a variety of topics 
and I am pleased to share them with my House colleagues.
  Kaysie Faas attends Needville High School in Needville, Texas. The 
essay topic is: Oil Prices Crash: The Impacts on Our Country and Our 
State.

       Over the past year to eighteen months, we have watched 
     crude oil prices plummet from over $100 per barrel to the $30 
     per barrel range. Over this same period gas prices at the 
     pump have fallen from almost $4.00 per gallon, to well below 
     $2.00; the lowest in years. While many people enjoy paying 
     these lower gas prices and extra cash in their wallet, the 
     effects on our economy are often very damaging, especially 
     now that the United States produces much more oil than the 
     past.
       Years ago, the United States relied heavily on foreign oil 
     as domestic production was falling short of expectations. 
     Generally, when we rely on imported oil, increased oil prices 
     negatively impact the U.S. economy, as the price for many 
     goods and services are driven by the price of oil. For 
     example, higher fuel prices result in increased shipping 
     costs, which basically impact the cost of everything from 
     apples to IPADs. Also, higher oil prices result in higher 
     chemical prices for all chemicals that are produced from oil. 
     So, in general, when we heavily rely on foreign oil, higher 
     oil prices have a large impact on our economy.
       However, in the 2000s, new technology (called ``fracking'') 
     emerged in the oil and gas industry which made it possible to 
     extract oil from previously untapped layers. As this 
     technology spread across the U.S., the U.S. became one of the 
     top oil and gas producers in the world. Closer to home, oil 
     and gas production in our state of Texas also followed suit 
     and boomed as well. This boom resulted in a great economic 
     boost for our state as a whole and also for the greater 
     Houston area that relies heavily on the oil and gas industry. 
     I personally witnessed this boom during my family travels 
     around the state. One time quiet and desolate small south 
     Texas towns had become full of activity, with new hotels, 
     convenience stores and restaurants. Everyone who wanted a 
     job, had a job, and times were good. However, as the U.S. and 
     Texas produces more oil, we are now more dependent and 
     affected by the price of oil. So, as the price of oil drops, 
     drilling and production does as well. This directly affects 
     these small Texas towns and large city oil and gas centers 
     such as our home congressional district and the Houston area. 
     These decreases in drilling and production activities result 
     in massive lay-offs in oil producing regions. Now the small 
     town hotels and restaurants are empty and forced to close. 
     Large oil companies in the big cities are forced to cut 
     thousands of jobs. These falling oil prices have a 
     devastating effect on our area.
       As stated above, cheaper gas prices appear to be a blessing 
     to an economy. However, residing in a state and a 
     congressional district that rely heavily on oil and gas, the 
     effects can be devastating, even though we are saving at the 
     pump.

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