Abstract: Input-output analyses of energy's contribution to employment growth in Texas during the 1972-82 period suggest that growth in the oil and gas extraction and oil field machinery manufacturing industries accounted for as much as 45% of the increase in total state employment. However, the analysis does not explain a significant portion of the state's growth, particularly in manufacturing. It may not be reasonable to expect the 2% growth of manufacturing to persist. The energy price increases of the 1970s hastened the obsolescence of energy-inefficient plants, providing an enlarged pool of relocation candidates. The fact that many owners of manufacturing facilities chose Texas as a location site suggests that other locational attributes, such as low union activity or a large supply of immigrant labor, also contributed. 9 references, 3 figures, 2 tables.