IMPACT OF SHALE OIL AND GAS EXPLORATION IN THE PERMIAN BASIN: PUBLIC FINANCES, HOUSE PRICES, MIGRATION, AND HOUSEHOLD INCOME

This dissertation examines the impacts of shale oil and gas exploration in the Permian Basin, focusing on housing, socio-demographics, petroleum exploration, and environmental effects. It addresses three key research areas: New Mexico's public finances, inter-county migration and household income, and the influence on house prices. The introductory chapter reviews the boomtown impact model and advocates for its adaptation to current social, economic, and financial landscapes. The second chapter analyzes New Mexico's public finances from 2010-2021, emphasizing oil and gas tax revenues and the need for financial prudence due to industry volatility. The third chapter uses causal effect techniques to assess the shale boom's effects on net migration and household income. The fourth chapter employs econometric models to explore factors influencing property values, uncovering complex relationships between energy development, environmental factors, and housing prices. The final chapter summarizes findings, addresses limitations, and proposes policy recommendations and future research directions.