Editing Alaska (section)

==Economy==
{{Main|Economy of Alaska}}
{{See also|Alaska locations by per capita income|List of Alaska companies}}
[[File:Prudhoe Bay aerial FWS.jpg|thumb|Aerial view of infrastructure at the [[Prudhoe Bay Oil Field]]]]As of October 2022, Alaska had a total employment of 316,900. The number of employer establishments was 21,077.<ref>{{Cite web |url=https://www.census.gov/quickfacts/AK |title=U.S. Census Bureau QuickFacts: Alaska |access-date=November 11, 2019 |archive-url=https://web.archive.org/web/20191015020906/https://www.census.gov/quickfacts/AK |archive-date=October 15, 2019 |url-status=live }}</ref>

The 2018 [[gross state product]] was $55&nbsp;billion, 48th in the U.S. Its [[List of U.S. states by GDP per capita (nominal)|per capita personal income]] for 2018 was $73,000, ranking 7th in the nation. According to a 2013 study by Phoenix Marketing International, Alaska had the fifth-largest number of millionaires per capita in the United States, with a ratio of 6.75 percent.<ref>{{cite web|last=Frank|first=Robert|title=Top states for millionaires per capita|url=https://www.cnbc.com/2014/01/15/top-states-for-millionaires-per-capita.html|publisher=CNBC|access-date=January 22, 2014|date=January 15, 2014|archive-url=https://web.archive.org/web/20140122061516/https://www.cnbc.com/id/101338309|archive-date=January 22, 2014|url-status=live}}</ref> The oil and gas industry dominates the Alaskan economy, with more than 80% of the state's revenues derived from petroleum extraction. Alaska's main export product (excluding oil and natural gas) is seafood, primarily salmon, cod, pollock and crab.

Agriculture represents a very small fraction of the Alaskan economy. Agricultural production is primarily for consumption within the state and includes nursery stock, dairy products, vegetables, and livestock. Manufacturing is limited, with most foodstuffs and general goods imported from elsewhere.

Employment is primarily in government and industries such as natural resource extraction, shipping, and transportation. Military bases are a significant component of the economy in the Fairbanks North Star, Anchorage and Kodiak Island boroughs, as well as Kodiak. Federal subsidies are also an important part of the economy, allowing the state to keep taxes low. Its industrial outputs are crude petroleum, natural gas, coal, gold, [[precious metals]], [[zinc]] and other mining, seafood processing, timber and wood products. There is also a growing service and tourism sector. Tourists have contributed to the economy by supporting local lodging.

===Energy===
{{See also|Natural gas in Alaska|List of power stations in Alaska|Energy law#Alaska law}}
[[File:Trans-Alaska Pipeline System Luca Galuzzi 2005.jpg|thumb|The [[Trans-Alaska Pipeline]] transports oil, Alaska's most financially important export, from the [[Alaska North Slope|North Slope]] to [[Valdez, Alaska|Valdez]]. The [[heat pipe]]s in the column mounts are pertinent, since they disperse heat upwards and prevent melting of [[permafrost]].]]
[[File:Alaska Crude Oil Reserves.PNG|thumb|upright|Alaska [[proven reserves|proven oil reserves]] peaked in 1973 and have declined more than 60% since then. ]]
[[File:Alaska crude oil production in 1970 through 2020 (51140868890).png|thumb|Alaskan oil production peaked in 1988 and has declined more than 75% since then.]]

Alaska has vast energy resources, although its oil reserves have been largely depleted. Major oil and gas reserves were found in the [[Alaska North Slope]] (ANS) and Cook Inlet basins, but according to the [[Energy Information Administration]], by February 2014 Alaska had fallen to fourth place in the nation in crude oil production after Texas, [[North Dakota]], and California.<ref>{{cite web |url=http://www.eia.gov/state/?sid=ak |title=EIA State Energy Profiles: Alaska |publisher=U.S. Energy Information Administration |date=March 27, 2014 |access-date=May 21, 2014 |archive-url=https://web.archive.org/web/20140522070348/http://www.eia.gov/state/?sid=ak |archive-date=May 22, 2014 |url-status=live }}</ref><ref>{{cite web|title=Rankings: Crude Oil Production, February 2013|url=http://www.eia.gov/state/rankings/?sid=US&CFID=11011948&CFTOKEN=1da5d5e517e7a485-37ABEB4E-25B3-1C83-549C71EE21A56018&jsessionid=84305d8fd0e59a4565705d1e106846494687#/series/46|publisher=United States Energy Information Administration|access-date=May 19, 2014|archive-url=https://web.archive.org/web/20131019131529/http://www.eia.gov/state/rankings/?sid=US&CFID=11011948&CFTOKEN=1da5d5e517e7a485-37ABEB4E-25B3-1C83-549C71EE21A56018&jsessionid=84305d8fd0e59a4565705d1e106846494687#/series/46|archive-date=October 19, 2013|url-status=live}}</ref> Prudhoe Bay on Alaska's North Slope is still the second highest-yielding oil field in the United States, typically producing about {{convert|400000|oilbbl/d|m3/d}}, although by early 2014 North Dakota's [[Bakken Formation]] was producing over {{convert|900000|oilbbl/d|m3/d}}.<ref>{{cite web | url=https://www.dmr.nd.gov/oilgas/stats/historicalbakkenoilstats.pdf | title=ND Monthly Bakken Oil Production Statistics | publisher=North Dakota Department of Mineral Resources | access-date=May 21, 2014 | archive-url=https://web.archive.org/web/20140714181113/https://www.dmr.nd.gov/oilgas/stats/historicalbakkenoilstats.pdf | archive-date=July 14, 2014 | url-status=live }}</ref> Prudhoe Bay was the largest [[conventional oil]] field ever discovered in North America, but was much smaller than Canada's enormous [[Athabasca oil sands]] field, which by 2014 was producing about {{convert | 1500000 | oilbbl/d | m3/d}} of [[unconventional oil]], and had hundreds of years of producible reserves at that rate.<ref>{{cite web | url=http://www.capp.ca/getdoc.aspx?DocId=227308 | title=Crude Oil Forecast, Markets and Transportation | publisher=Canadian Association of Petroleum Producers | date=June 2013 | access-date=May 21, 2014 | archive-url=https://web.archive.org/web/20140522084514/http://www.capp.ca/getdoc.aspx?DocId=227308 | archive-date=May 22, 2014 | url-status=dead }}</ref>

The [[Trans-Alaska Pipeline]] can transport and pump up to {{convert|2.1|Moilbbl|m3}} of crude oil per day, more than any other crude oil pipeline in the United States. Additionally, substantial coal deposits are found in Alaska's bituminous, sub-bituminous, and lignite coal basins. The [[United States Geological Survey]] estimates that there are {{convert|85.4|Tcuft|km3}} of undiscovered, technically recoverable gas from natural gas hydrates on the Alaskan North Slope.<ref>{{cite web|url=http://www.usgs.gov/corecast/details.asp?ep=74 |title=Gas Hydrates on Alaska's North Slope |publisher=Usgs.gov |access-date=June 2, 2010 |archive-url=https://web.archive.org/web/20100601170523/http://www.usgs.gov/corecast/details.asp?ep=74 |archive-date=June 1, 2010 |url-status=dead }}</ref> Alaska also offers some of the highest hydroelectric power potential in the country from its numerous rivers. Large swaths of the Alaskan coastline offer wind and geothermal energy potential as well.<ref>{{cite web|url=http://tonto.eia.doe.gov/state/state_energy_profiles.cfm?sid=AK |title=EIA State Energy Profiles: Alaska |publisher=Tonto.eia.doe.gov |date=August 27, 2009 |access-date=November 7, 2010 |archive-url=https://web.archive.org/web/20101103203218/http://tonto.eia.doe.gov/state/state_energy_profiles.cfm?sid=AK |archive-date=November 3, 2010 |url-status=live }}</ref>

Alaska's economy depends heavily on increasingly expensive diesel fuel for heating, transportation, electric power and light. Although wind and hydroelectric power are abundant and underdeveloped, proposals for statewide energy systems were judged uneconomical (at the time of the report, 2001) due to low (less than 50¢/gal) fuel prices, long distances and low population.<ref>{{cite web |archive-url=https://web.archive.org/web/20080216014031/http://www.dced.state.ak.us/dca/AEIS/PDF_Files/AIDEA_Energy_Screening.pdf |archive-date=February 16, 2008 |url=http://www.dced.state.ak.us/dca/AEIS/PDF_Files/AIDEA_Energy_Screening.pdf |title=Screening Report for Alaska Rural Energy Plan |date=April 2001 |url-status=dead |access-date=April 11, 2006 }}</ref> The cost of a gallon of gas in urban Alaska is usually thirty to sixty cents higher than the national average; prices in rural areas are generally significantly higher but vary widely depending on transportation costs, seasonal usage peaks, nearby petroleum development infrastructure and many other factors.<ref>{{Cite web |title=Alaska Profile |url=https://www.eia.gov/state/print.php?sid=AK |access-date=2023-12-22 |website=www.eia.gov |archive-date=December 22, 2023 |archive-url=https://web.archive.org/web/20231222034426/https://www.eia.gov/state/print.php?sid=AK |url-status=live }}</ref><ref>{{Cite web |author-link=Alaska |date=January 2015 |title=Alaska Fuel Price Report: Current Community Conditions (January 2015) |url=https://www.commerce.alaska.gov/web/Portals/4/pub/Fuel_Price_Report_Jan-2015.pdf |access-date=December 22, 2023 |archive-date=January 19, 2024 |archive-url=https://web.archive.org/web/20240119085012/https://www.commerce.alaska.gov/web/Portals/4/pub/Fuel_Price_Report_Jan-2015.pdf |url-status=live }}</ref>

====Permanent Fund====
The [[Alaska Permanent Fund]] is a constitutionally authorized appropriation of oil revenues, established by voters in 1976 to manage a surplus in state petroleum revenues from oil, largely in anticipation of the then recently constructed [[Trans-Alaska Pipeline System]]. The fund was originally proposed by Governor [[Keith Harvey Miller|Keith Miller]] on the eve of the 1969 Prudhoe Bay lease sale, out of fear that the legislature would spend the entire proceeds of the sale (which amounted to $900&nbsp;million) at once. It was later championed by Governor [[Jay Hammond]] and [[Kenai, Alaska|Kenai]] [[Alaska House of Representatives|state representative]] Hugh Malone. It has served as an attractive political prospect ever since, diverting revenues which would normally be deposited into the general fund.

The [[Alaska Constitution]] was written so as to discourage dedicating state funds for a particular purpose. The Permanent Fund has become the rare exception to this, mostly due to the political climate of distrust existing during the time of its creation. From its initial principal of $734,000, the fund has grown to $50&nbsp;billion as a result of oil royalties and capital investment programs.<ref>{{cite web|url=http://www.apfc.org/|title=Alaska Permanent Fund Corporation|website=apfc.org|access-date=May 29, 2007|archive-url=https://web.archive.org/web/20070520095308/http://www.apfc.org/|archive-date=May 20, 2007|url-status=live}}</ref> Most if not all the principal is invested conservatively outside Alaska. This has led to frequent calls by Alaskan politicians for the Fund to make investments within Alaska, though such a stance has never gained momentum.

Starting in 1982, dividends from the fund's annual growth have been paid out each year to eligible Alaskans, ranging from an initial $1,000 in 1982 (equal to three years' payout, as the distribution of payments was held up in a lawsuit over the distribution scheme) to $3,269 in 2008 (which included a one-time $1,200 "Resource Rebate"). Every year, the state legislature takes out 8% from the earnings, puts 3% back into the principal for inflation proofing, and the remaining 5% is distributed to all qualifying Alaskans. To qualify for the Permanent Fund Dividend, one must have lived in the state for a minimum of 12 months, maintain constant residency subject to allowable absences,<ref>{{cite web|url=http://www.pfd.state.ak.us/dividendamounts/index.aspx |title=State of Alaska Permanent Fund Division |publisher=Pfd.state.ak.us |access-date=June 2, 2010 |archive-url=https://web.archive.org/web/20100420014117/http://www.pfd.state.ak.us/dividendamounts/index.aspx |archive-date=April 20, 2010 |url-status=dead }}</ref> and not be subject to court judgments or criminal convictions which fall under various disqualifying classifications or may subject the payment amount to civil garnishment.

The Permanent Fund is often considered to be one of the leading examples of a [[basic income]] policy in the world.<ref>{{cite web|title = Alaska's Citizens' Dividend Set To Be Near Highest Ever|url = http://www.basicincome.org/news/2015/08/alaska-usa-dividend-amount-estimated-to-be-near-highest-ever/|website = BIEN| date=August 31, 2015 |access-date = November 3, 2015|archive-url = https://web.archive.org/web/20151103055141/http://www.basicincome.org/news/2015/08/alaska-usa-dividend-amount-estimated-to-be-near-highest-ever/|archive-date = November 3, 2015|url-status = live}}</ref>

===Cost of living===
The cost of goods in Alaska has long been higher than in the contiguous 48 states. Federal government employees, particularly [[United States Postal Service]] (USPS) workers and active-duty military members, receive a Cost of Living Allowance usually set at 25% of base pay because, while the cost of living has gone down, it is still one of the highest in the country.<ref name=":1a">{{Cite web|title=Economic Forecast Released|url=https://www.alaskanomics.com/|access-date=2021-02-04|website=Economic Forecast Released|archive-date=May 6, 2010|archive-url=https://web.archive.org/web/20100506033032/https://www.alaskanomics.com/|url-status=live}}</ref>

Rural Alaska suffers from extremely high prices for food and consumer goods compared to the rest of the country, due to the relatively limited transportation infrastructure.<ref name=":1a" />

===Agriculture and fishing===
[[File:Pacific Halibut Fileting.JPG|thumb|right|upright|[[Halibut]], both as a sport fish and commercially, is important to the state's economy.]]

Due to the northern climate and short growing season, relatively little farming occurs in Alaska. Most farms are in either the [[Matanuska Valley]], about {{convert|40|mi|km}} northeast of [[Anchorage]], or on the [[Kenai Peninsula]], about {{convert|60|mi|km}} southwest of Anchorage. The short 100-day growing season limits the crops that can be grown, but the long sunny summer days make for productive growing seasons. The primary crops are potatoes, carrots, lettuce, and cabbage.

The [[Tanana Valley]] is another notable agricultural locus, especially the [[Delta Junction, Alaska|Delta Junction]] area, about {{convert|100|mi|km}} southeast of Fairbanks, with a sizable concentration of farms growing agronomic crops; these farms mostly lie north and east of [[Fort Greely]]. This area was largely set aside and developed under a state program spearheaded by Hammond during his second term as governor. Delta-area crops consist predominantly of barley and hay. West of Fairbanks lies another concentration of small farms catering to restaurants, the hotel and tourist industry, and [[community-supported agriculture]].

Alaskan agriculture has experienced a surge in growth of [[market gardener]]s, small farms and [[farmers' market]]s in recent years, with the highest percentage increase (46%) in the nation in growth in farmers' markets in 2011, compared to 17% nationwide.<ref>{{cite web |url=http://www.usda.gov/wps/portal/usda/usdamediafb?contentid=2011/08/0338.xml&printable=true&contentidonly=true |title=More than 1,000 New Farmers Markets Recorded Across Country as USDA Directory Reveals 17 Percent Growth—USDA Newsroom |publisher=Usda.gov |date=August 5, 2011 |access-date=June 14, 2012 |archive-url=https://web.archive.org/web/20130117072838/http://www.usda.gov/wps/portal/usda/usdamediafb?contentid=2011%2F08%2F0338.xml&printable=true&contentidonly=true |archive-date=January 17, 2013 |url-status=dead }}</ref> The [[peony]] industry has also taken off, as the growing season allows farmers to harvest during a gap in supply elsewhere in the world, thereby filling a niche in the flower market.<ref>{{cite web |url=http://alaskapeonies.org/ |title=Welcome to The Alaska Peony Growers Association |publisher=Alaskapeonies.org |access-date=June 14, 2012 |archive-url=https://web.archive.org/web/20120630050159/http://alaskapeonies.org/ |archive-date=June 30, 2012 |url-status=live }}</ref>

{{multiple image
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| image1            = Heavy-lift_melon.jpg
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| image2            = Monster vegetable display at the Tanana Valley State Fair 2010.jpg
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| footer            = Oversized vegetables on display at the [[Alaska State Fair]] (left) and the [[Tanana Valley State Fair]] (right)
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Alaska, with no counties, lacks county fairs. Instead, a small assortment of state and local fairs (with the [[Alaska State Fair]] in [[Palmer, Alaska|Palmer]] the largest), are held mostly in the late summer. The fairs are mostly located in communities with historic or current agricultural activity, and feature local farmers exhibiting produce in addition to more high-profile commercial activities such as carnival rides, concerts and food. "Alaska Grown" is used as an agricultural slogan.

Alaska has an abundance of seafood, with the primary fisheries in the Bering Sea and the North Pacific. Seafood is one of the few food items that is often cheaper within the state than outside it. Many Alaskans take advantage of salmon seasons to harvest portions of their household diet while fishing for subsistence, as well as sport. This includes fish taken by hook, net or [[Fish wheel|wheel]].<ref>{{cite web|url=http://www.adfg.alaska.gov/index.cfm?adfg=fishingPersonalUse.main |title=Alaska Department of Fish and Game |publisher=Adfg.alaska.gov |access-date=May 29, 2011 |archive-url=https://web.archive.org/web/20110624202032/http://www.adfg.alaska.gov/index.cfm?adfg=fishingPersonalUse.main |archive-date=June 24, 2011 |url-status=live }}</ref>

Hunting for subsistence, primarily [[caribou]], [[moose]], and [[Dall sheep]] is still common in the state, particularly in remote [[The Bush (Alaska)|Bush]] communities. An example of a traditional native food is [[Akutaq]], the Eskimo ice cream, which can consist of reindeer fat, seal oil, dried fish meat and local berries.

Alaska's reindeer herding is concentrated on [[Seward Peninsula]], where wild caribou can be prevented from mingling and migrating with the domesticated reindeer.<ref>{{cite web |url=http://reindeer.salrm.uaf.edu/about_reindeer/seward_peninsula.php |title=Reindeer Herding |publisher=Reindeer.salrm.uaf.edu |access-date=November 7, 2010 |archive-url=https://web.archive.org/web/20101119004453/http://reindeer.salrm.uaf.edu/about_reindeer/seward_peninsula.php |archive-date=November 19, 2010 |url-status=live }}</ref>

Most food in Alaska is transported into the state from [[Outside (Alaska)|"Outside"]] (the other 49 U.S. states), and shipping costs make food in the cities relatively expensive. In rural areas, subsistence hunting and gathering is an essential activity because imported food is prohibitively expensive. Although most small towns and villages in Alaska lie along the coastline, the cost of importing food to remote villages can be high because of the terrain and difficult road conditions, which change dramatically due to varying climate and precipitation changes. Transport costs can reach 50¢ per pound ($1.10/kg) or higher in some remote areas during times of inclement weather or rough terrain conditions, if these locations can be reached at all. The cost of delivering a gallon (3.8 L) of milk is about $3.50 in many villages where per capita income can be $20,000 or less. Fuel cost per gallon is routinely twenty to thirty cents higher than the contiguous United States average, with only Hawaii having higher prices.<ref>{{cite web|title=Daily Fuel Gauge Report|url=http://fuelgaugereport.aaa.com/?redirectto=http://fuelgaugereport.opisnet.com/index.asp|publisher=Automobile Association of America|access-date=May 18, 2013|archive-url=https://web.archive.org/web/20130620090230/http://fuelgaugereport.aaa.com/?redirectto=http%3A%2F%2Ffuelgaugereport.opisnet.com%2Findex.asp|archive-date=June 20, 2013|url-status=live}}</ref><ref>{{cite web|title=Retail Fuel Pricing and News|url=http://www.opisnet.com/retail-fuel-prices.aspx|publisher=Oil Price Information Service|access-date=May 18, 2013|archive-url=https://web.archive.org/web/20130602043909/http://www.opisnet.com/retail-fuel-prices.aspx|archive-date=June 2, 2013|url-status=live}}</ref>