An Analysis Of How Electric Vehicles Have Influenced The Economic Landscape Of Oil-Dependent States And Cities In The U.S. Since 2020

Abstract

Recently, electric vehicles have started to take over the market, with brands such as Tesla in the USA, by far the most successful brand in the country, holding 43.5% of the EV market share and BYD in China, holding 28.5% within the country. But, they have been just that:recent. Previously, the energy sector used to be dominated by fossil fuels such as gas, oil or coal and as a matter of fact, there are cities that significantly benefited from them in states such as Louisiana, Oklahoma and especially, Texas. This study investigates the projected economic impact of EV uptake from 2020 to 2025 of EV adoption in cities that have a history of being dependent on oil such as Lake Charles, Louisiana, Lafayette,Louisiana or Port Fourchon, Louisiana or Houston, Texas. We will employ an input-output model and multiple regression lines in order to quantify how EV market rising share, combined with logistic growth parameters influenced key economic indexes, vital for determining the state of the economy such as GDP Per capita, GDP, Tax revenue and local oil sector employment. Our research underscores the importance of economic diversification and targeted infrastructure policies to bolster resilience in oil-centric cities facing inevitable energy transitions.