Shifting State Investments and School Funding Disparities During Pennsylvania's Shale Gas Boom

• In Event: Intersections of Rural Economics, Health, and Education

Abstract

We investigate how the recent shale gas boom in Pennsylvania occurring primarily within low-income and rural school districts has affected school district fiscal and institutional status. We link unconventional drilling point data between 2007 and 2015 with district-level data on enrollment, education funding, and community wealth. Using quasi-experimental matching techniques for causal inference, we find that unconventional drilling has a negative effect on local wealth and education funding. This work helps clarify the relationship between resource extraction and local educational resources, providing an additional perspective regarding how state policies may mediate or exacerbate the consequences of boomtown development within local, and in many cases rural, communities.

Authors

• Matthew Kelly, The Pennsylvania State University - University Park

• Kai A. Schafft, The Pennsylvania State University