The effects will be shaking out for a few years. In theory the contraction in the oil industry should hit the Anchorage housing market, but if government cutbacks lead to more people moving from the villages into Anchorage/Mat-su looking for jobs, then the housing market will somewhat stabilize.

Fairbanks is it's own market, don't know enough about their economy to see how the downturn on the state will effect it, but I'm sure they'll be hurt as with all communities.

It's truly mind numbing how much the state spends on the select few that decide to live their lives at the bottom. There are sadly more than a few "families" where baby momma gets free food and housing while drinking and or using the chemical substances of her choice, there are several "dad's" that bounce in and out of prison, CPS takes the kids out of the home, foster care for the kids for a period of time, everyone gets a lawyer, case worker, therapist etc when trying to re-unite the kids with the "family" and the cycle repeats. Not to mention by spending just one day in foster care, the state pays 100% of the kids college costs.