Texas Economy
The Texas economy runs on energy, property, and the absence of an income tax. This section explains how each piece fits together — what powers the grid, what fills the budget, and what every Texan pays to keep it all running.
Energy & Oil
Permian Basin, ERCOT, and the state's energy economy.
Explore →Jobs & Employment
Workforce, in-migration, and the Texas labor market.
Explore →Business Growth
Corporate relocations, startups, and Texas's economic edge.
Explore →Taxes & State Budget
Property taxes, sales tax, appraisals, and how Texas spends.
Explore →
The Texas Energy Economy: A Full Overview of Oil, Gas, ERCOT, and the Grid That Powers America
How Texas became the energy capital of North America — Permian crude, Eagle Ford gas, ERCOT reliability, the Railroad Commission, and what the Houston-led oil and gas industry means for the Texas economy.
Read the full guide →Inside the Texas Economy
Texas is the ninth-largest economy in the world, and it got there without a state income tax. That single fact shapes everything downstream — how the state funds schools, why property taxes matter so much, how ERCOT keeps a standalone power grid running for 30+ million people, and why so many companies keep moving their headquarters here from California, Illinois, and New York.
The backbone is still energy. The Permian Basin produces more oil than most OPEC members, and Texas leads the country in both natural gas and wind generation. But the story is no longer just oil: semiconductor fabs in North Texas, biotech in Houston, and a fast-growing aerospace corridor from Austin to Brownsville have turned the state into one of the most diversified economies in the U.S.
On the household side, the pressure point is property tax. Because there's no income tax, local school districts and counties lean on appraisals — and appraisals have risen sharply as new residents bid up home prices. The Legislature's ongoing property-tax-relief packages, the homestead exemption, and the appraisal protest process are the tools every Texas homeowner needs to understand. Use our Texas property tax calculator to estimate your Texas property taxes by county and ISD. Our coverage below walks through each of them.
All Coverage in this Section
New Property Tax Relief Package Heads to Floor for Decisive Vote
GOP leaders signal confidence as the historic $18 billion plan reaches final deliberations in the House, promising compression to district maintenance rates.
The 10 Texas Counties with the Highest School Tax Burdens in 2024
Our analysis of TEA filings shows where homeowners are paying the steepest ISD M&O rates.
Permian Basin Production Hits Record as Federal Permitting Threats Loom
West Texas operators warn of EPA overreach even as output climbs to 6.1 million barrels per day.
Why Texas Has No State Income Tax — and What Pays for Government Instead
Texas is one of nine states without an income tax, and the 2019 constitutional amendment makes it nearly impossible to enact one. Here's the sales-tax-and-property-tax model that funds the second-largest state in the union.
The Texas Homestead Exemption Explained: What Every Homeowner Should Claim
A plain-English walkthrough of the $140,000 school-district homestead exemption, over-65 and disabled relief, disabled-veteran reductions, and how to file with your county appraisal district.
How to Protest Your Property Appraisal — and Actually Win
Deadlines, evidence packets, equal-and-uniform comps, and the ARB hearing script that gets values reduced. A practical playbook for every Texas homeowner.
How Texas Counties Actually Spend Your Money
Sheriff's office, jail operations, road and bridge, district courts, and indigent defense — a breakdown of where every dollar of your county property tax actually goes.
How County Appraisal Districts Work — and Your Rights as a Taxpayer
Inside the CAD: how appraisers set market values, what the Appraisal Review Board does, and the statutory rights every property owner can invoke during protest season.
A Guide to Texas Energy Policy: ERCOT, Oil & Gas, and the Regulators in Charge
How the Railroad Commission, PUC, and ERCOT divide authority over the nation's largest energy economy — and where renewables fit into a grid built on hydrocarbons.
The Texas Property Tax Guide: Appraisals, Caps, and Calculating Your Bill
How Texas property taxes really work — appraisal caps, homestead exemptions, ISD M&O rates, and a step-by-step walkthrough for estimating what you actually owe.
The Texas Grid Explained: ERCOT, Reliability, and Why Independence Still Matters
Why Texas runs its own grid, what the Public Utility Commission actually controls, and the reforms keeping the lights on through summer peaks and winter freezes.