This report, by the University of North Texas Center for Economic Development and Research, discusses the economic effect of rising gas prices on the Texas economy. It surmises that although rising natural gas prices are a boon to gas drilling, production and distribution industries and their employees, the resulting higher costs to Texas industries and households more than offset any gains. Each $1 per MCF increase in the price of natural gas - if sustained - has the net effect of decreasing state economic activity by at least $3.4 billion per year, lowering total employment by more than 34,000, and reducing salaries and wages by $911 million.