Commerce in Oklahoma
Oklahoma at the Turn of the Century
Bank failures impacted communities all over Oklahoma, as did major layoffs in the petroleum industry. Unemployment throughout the country reached 10.8 percent by the end of 1982. This was the highest unemployment rate since the onset of the Great Depression. Incomes in the state had risen to equal the national average in the 1970s, but in 1987, Oklahoma incomes were only 81 percent of the average. The population decreased most years in the 1980s. Local and state governments confronted revenue failures, which resulted in fewer jobs and services. In the 1980s, the number of Oklahomans enrolled in federal welfare programs peaked.
Although the state's overall economic condition was poor, several policy changes would lay the foundation for major changes in the Oklahoma economy. The most important are the federal laws passed in the late 1970s and 1980s that reinforced tribal sovereignty for the tribal nations of Oklahoma, including the Indian Self-Determination and Education Assistance Act in 1975 and the Indian Gaming Regulatory Act in 1988. The federal government’s recognition of the tribal governments’ sovereignty and power to develop economic programs for their citizens has stimulated rural economies, benefitting everyone in the state.
In 1990, teachers gathered in a four-day walkout to protest against the poor funding and conditions in the state’s public schools. In response, the legislature passed House Bill 1017, a major education reform bill that was signed by Governor Henry Bellmon. Although never fully implemented, this landmark investment sought to transform Oklahoma education.
After losing a maintenance facility for United Airlines, the city of Oklahoma City introduced the first Metro Area Projects (MAPS) initiative. This sales tax increase funded an effort to improve the quality of life in the city. MAPS taxes have resulted in a complete transformation of downtown Oklahoma City. This spurred further investment, making the city center a destination for local and out-of-state visitors. The MAPS model has been approved three additional times to provide funding for infrastructure and schools.
Another major influence on Oklahoma’s economy is the rapid growth of both non-English speakers and immigrants in rural, urban, and suburban communities throughout the state. The growth of these populations created a demand for cultural products unavailable in Oklahoma. Many entrepreneurs from these communities have stepped up to provide these foods, financial transfers, personal care products, and services in languages other than English. The growth of these new businesses has reinvigorated various communities, including the southside of Oklahoma City and Guymon in Oklahoma’s Panhandle.
This chart shows teh per capita personal income for Kansas, Texas, and Oklahoma from 1929 to 2019 (image courtesy Bureau of Economic Analysis)
