Despite the importance of its energy, food, and fiber, the Texas economy is increasingly services oriented. This outcome is not surprising given the sophisticated nature of the state's industrial base; it's a pattern common to every highly developed economy. Let's examine past and expected future trends.
What will Texas jobs and the workforce look like in the future? The underlying driver is, of course, patterns in expansion by industry. We recently took a look at this question using our databases and models.
Since the coronavirus outbreak began, slack has developed in demand for crude oil. Disruptions and quarantines have caused economic growth in China and elsewhere to slow. With the huge Chinese economy expanding less, slower growth has rippled out, and areas with significant outbreaks have experienced even greater negative effects. The result has been falling demand for oil and natural gas, and therefore downward pressure on prices. Early in the year, prices were in the $63 per barrel range; they had fallen to less than $42 by March 6.
About nine of 10 new jobs over the next decade will be in services-producing industries, many of them in health care. The US Bureau of Labor Statistics (BLS) recently released projections for growth in jobs through 2026. BLS estimates that US employment will increase by 11.5 million over the 2016-26 decade, somewhat faster than the prior 10 years (which were marred by the Great Recession).