ODT: The Keystone XL Pipeline

I. EconomicsIn many ways, the Keystone XL Pipeline will help not only the Midwest's economy, but also the entire nation's. I. i. JobsThe Keystone XL Pipeline would create tens of thousands of permanent jobs. "It's estimated that the Keystone XL project, which is funded entirely through private investment, would help create at least 20,000 new American jobs in manufacturing and construction. Analysis suggests it could create tens of thousands more, and could help address high gas prices as well. President Obama says he didn't have enough time to come to approve it - that he had no choice to reject the project. But as the Wall Street Journal editorial board put it, 'Keystone XL has been planned for years. .. '"(Boehner)"For America's skilled craft construction professionals, any discussion of the Keystone XL project begins and ends with one word: JOBS," Mark Ayers, past head of the group, wrote in the Huffington Post last November. He noted that 'the Keystone pipeline represents the prospect for 20,000 immediate jobs. .. '"(Frank)20,000 jobs is a large number of jobs. This will help the Midwest's concerning labor situation. I. ii. GDP ContributionThe pipeline construction itself will contribute billions to the economy. "Keystone should be approved. This is a good project. It will give us energy and give us jobs. You want stimulus? This is a $7 billion deal to be done with private-sector funding. "(Chicago Tribune)"The Keystone XL pipeline will cost USD 7 billion to construct and will carry nearly 800,000 barrels of oil a day into the U. S. from Canada. "(Diebel)$7 billion is a significant amount of money, especially to a drained Midwest economy. I. iii. Decreasing Gas Prices By the laws of supply and demand and that America would become less dependent on inflated foreign oil, the Keystone XL Pipeline would help lower gas prices. This will boost the economy. "They fear lots of Canadian crude could be shut in the ground with nowhere to go if this pipeline isn't built quickly. In addition, they say the few pipelines that do connect Canada's oil production region to the US currently flow where refining capacity is limited. This means less gasoline for your tank. .. The result would mean more supply for US consumers, and therefore, lower gasoline prices. "(Sanati) "A report published by The Economist stated that tar sands today account for nearly one and a half million barrels of oil produced every day, and by 2025 that number will rise to three and half million. Even though 70 percent of the world’s oil is controlled and produced by OPEC countries, half of the remaining global oil supply comes from tar sands. In other words, these “bituminous crudes” are here to stay. "(Diebel)While the total contribution to lower gas prices might be rather small, any decrease will help the economy. And in the long run, extracting the tar sands will help reduce our dependence on foreign oil. This will most certainly drive down gas prices since OPEC oil is being sold for a heavily inflated price. I. iv. Reviving the Devestated Midwest Economy The Midwest was greatest affected area by the Recession. The Keystone XL Pipeline will help revive this depressed region through job creation and investment. First, since the Keystone XL Pipeline will help create 20,000 jobs, spend an immediate $7 billion, and help lower gas prices, it is only obvious that all of this will help the Midwest's economy. It is still probably one of the most depressed regions in the country, and this pipeline will help its economy. "Costing $7 billion, the pipeline would create 20,000 well-paying construction jobs immediately. Midwest construction workers, one of the demographics hit hardest by the economic downturn, desperately need this project. While blue-collar workers would receive many of the direct benefits from Keystone's construction, thousands of businesses from nearly every state would have reaped indirect business were Obama to simply allow the Keystone project to be built. 2,400 American companies in 49 states are involved in the production of Canadian oil sands. "(Breitbart)The Keystone XL Pipeline will help the Midwest's economy. I. v. A Conclusion: Long-Term Economic Contribution Even though a lot of these effects won't be felt for a while (specifically it won't help this current recession), the long-term contribution to the economy is staggering. "According to the Department of Energy, this one project will "essentially eliminate" oil imports from the Middle East. It will create more than 100,000 jobs and strengthen our relationship with a close ally and trading partner. A project like this should be a no-brainer, and there's simply no good reason it has been stuck in the State Department's red tape for nearly three years. "(ZFacts)"An independent study estimates that during the life of the project, the Keystone XL project is expected to stimulate: More than $20 billion in new spending for the U. S. economy; More than 118,000 person-years of employment; An increase of $6.5 billion in the personal income of Americans; Increased gross output (product) of $9.6 billion; and More than $585 million in state and local taxes in the states along the pipeline route. 'This project will also play an important role in linking a secure and growing supply of Canadian crude oil with the largest refining markets in the United States, significantly improving North American energy security,'added Girling. "(Pipeline News)So obviously, the construction of the Keystone XL Pipeline will have huge economic benefits in 15-20 years, well beyond the "temporary" jobs date. II. Conclusion "The Keystone XL pipeline will help to address our long-term energy needs and also create significant job growth at a time when the nation needs it most. The project's construction phase alone will require 13,000 direct construction and manufacturing hires; indirect new jobs could total 118,000. "(ENR) _____________________________________________________________________________________________________Bibliography:Boehner, John. "Boehner Column: President Obama’s Pipeline Decision: Bad for Jobs, Bad for our Economy, Bad for Energy Security. " John Boehner Website. N. p, 20 Jan. 2012. Web. <. http://boehner.house.gov...;. Frank, Stephen. "Obama Lies To Union That Supports Keystone XL Pipeline. " Stephen Frank's California Political News and Views. N. p, 2 May 2012. Web. <. http://capoliticalnews.com...;.Chicago Tribune. "Pipeline politics: Misguided Obama blocks Keystone pipeline: Obama's decision will cost the U. S. jobs. " Chicago Tribune Website. N. p, 19 Jan. 2012. Web. <. http://www.chicagotribune.com...;.Diebel, Zac. "KeyStone Pipeline Capers present an Envrionmentalist's Nightmare for North America. " The Cutting Edge News. N. p, 23 Sep, 2011. Web. <. http://www.thecuttingedgenews.com... >. Sanati, Cyrus. "Will the Keystone Pipeline Decision Affect Prices at the Pump? " MintLife. N. p, 23 Jan. 2012. Web. <. http://www.mint.com...;.Breitbart. "Search: Keystone Pipeline. " Breitbart. N. p, N. d. Web. <. http://www.breitbart.com... >. ZFacts. "Keystone Pipeline: Jobs? Energy Independence? " ZFacts. N. p, N. d. Web. <. http://zfacts.com... >. Pipeline News. "Labor Agreement For Keystone XL Pipeline To Create 13,000 American Jobs. " Pipeline News. N. p, N. d. Web. <. http://www.pipeline-news.com... >. Christie, Ralph, Jr. "Why We Need the Keystone XL Pipeline Project. " Enginnering-News-Record. N. p, 9 Apr. 2012. Web. <. http://enr.construction.com...;.