The '80s Recession: Are we in a similar position today?

When crude oil prices slid precipitously in late 2014, many began to draw parallels between Alaska's current budget shortfall and the deep recession of the mid-1980s, questioning whether we're headed for another meltdown. The fiscal similarity between the two eras is clear: state general fund revenue is just as dependent on the value of oil now as it was then, and Alaska still relies heavily on federal spending. The relative importance of these two economic drivers hasn't diminished even as the rest of the economy has grown.