The true engine of America’s economy might surprise you. It’s not tech. It’s not artificial intelligence, finance, or manufacturing. It’s energy.
Energy accounts for just 7% of America’s gross domestic product (GDP), but, as former FERC Chair Mark Christie put it, “it’s the foundational 7% … everything else in our economy and lifestyle flows from it.”
Christie, recently named the founding director of William & Mary Law School’s new Center for Energy Law & Policy, has placed a spotlight on the often-overlooked but indispensable role of energy in our economy and national security. Energy powers every aspect of American life, from our digital infrastructure and healthcare to manufacturing and daily commutes. From the appliances running in every home to the streaming services Americans watch every night. Energy’s influence is all around us. Any future growth, whether it be reshoring manufacturing, expanding AI, or vehicle electrification, cannot exist without an increase in energy.
Although energy accounts for a relatively modest share of our GDP, that number undervalues its contribution. Contemporary life depends on an uninterrupted flow of affordable, reliable power. Without it, finance, commerce, communications, healthcare, transportation, and every other sector would grind to a halt. In other words, the other 93% of our GDP wouldn’t exist without energy. It’s the precondition for modern society.