Only three legs support the Alaska economy: oil, the federal government and everything else.
That’s why oil tax reform is an Alaska problem, not an oil company problem. Oil companies can invest anywhere in the world, and they do. They take their investment wherever they can achieve the highest rate of return. If that is not Alaska, it may be North Dakota, California, Indonesia or anywhere else in the world. To them it’s a simple choice: what is the lowest risk and highest return.
It’s not so simple for us.