Oil and Industries Oil and industries have been shrinking and especially in the United States. Although, the Texas economy has its ups and downs, oil prices and usage keep decreasing by time. Also, the economy of Texas keeps changing by constantly increasing and decreasing as well. The development of railroads, the discovery of quantities of oil, and the growth of the cotton industry were signs of huge transformations that affected the economy powerhouse it is today. The price of one barrel of oil has decreased by over half of its original price, this causes a lot of problems in the states. Oil and gas products have a lot of taxes added to their prices and this is where most of the money that goes to the government comes from. The oil and gas industry’s success helped diverse the state′s economies until they were dominated by agriculture. Before, when the gas prices were escalating, the tax percentage was increasing as well. In an article called How Oil’s Price Collapse Will Affect Dallas, it was mentioned that“ When prices were high from 1981 to 1983, the oil sector’s share of annual tax revenues averaged 12 percent”(W. Micheal Cox and Richard Alm.) Later when the industry started to fall, the cotton industry kept escalating, but not as much as it was before due to all these changes in supplies. SInce the price of cotton started to fall, the number of fruits and vegetables harvests increased by Mexican immigrant workers. This became essential because Mexicans became an important backbone to the state and to the industries along. The economy of Texas got to change because of natural gases and oil production. The economy’s strength is measured by its inflation. Inflation is the growth of a state’s economic strength. In conclusion, the prices of oil can affect the economy in different ways such as income changes and production for other industries. Reference https://www.dmagazine.com/publications/d-ceo/2015/april/oil-price-collapse-affects-dallas/