Economic trouble may haunt Palin

February 17, 2009 11:58:34 AM PST
The falling price of oil may have an impact on the political fortunes of a potential 2012 presidential candidate. For her first two years in office, Alaska Gov. Sarah Palin has led a state that was flush with wealth from record-high oil prices.

But the second half of her term isn't looking so rosy.

The rapid fall of oil prices has left Alaska facing a budget crisis. And it's no longer able to avoid the national recession.

It could have political repercussions for last year's Republican vice-presidential nominee. Palin has signaled an interest in a presidential run in three years, but she needs to stay visible in the lower 48 states in order to do so.

Political scientists Larry Sabato of the University of Virginia says Palin will find it harder to travel outside Alaska when the state is facing tough economic times.

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