Could Short-term Gain at the Pump Be Long-term Pain for Louisianians?

Anyone driving to feast for Thanksgiving felt a little fatter in the wallet as well as in the waistband. It's really nice paying well south of $3 for a gallon of gas, especially headed into a time of year when we could all use a little more money to spend on other things. But while the lower prices at the pump are a boon for consumers in general nationwide, they may not be good news for Louisiana as a state.

First, analysts and economists told USA Today that an OPEC decision on Friday, November 28th, to maintain its production levels could hurt domestic expansion, have them looking for ways to reduce costs, and result in more consolidation. For a state like Louisiana where so many jobs lie in oil-related fields, this is not good news. Louisiana Oil & Gas Association President Don Briggs says he's already spoken to companies within the last few weeks who have begun laying off personnel and cutting drilling and leasing budgets for the upcoming year.

Second, the state of Louisiana factors in mineral royalties when planning its budgets. A large part of the shortfall for this year's budget was due to the lower-than-expected revenue from those royalties because the price of oil dropped. The state will need to find money somewhere to plug that hole, and cuts will be made. Ultimately, someone is going to end up on the losing end.

You can check gas prices in your area and find out where the cheapest gas is by visiting gasbuddy.com.