The oil companies don't "like it". The Alaska state legislature actually passed taxation at a higher rate that Palin requested and they did it over the opposition of oil companies.

"Clearly, from the investor standpoint, Alaska has become a less attractive place to invest exploration and production dollars," said Marilyn Crockett, executive director of the Alaska Oil and Gas Association.

John McCain has opposed windfall profit taxes such as those supported by Palin.

...oil-industry officials contend the tax already has affected investment decisions.

BP Alaska, which runs Prudhoe Bay, said earlier this year that it had delayed the development in the western region of the North Slope as a result of the tax. ConocoPhillips cited the same reason for scrapping a $300 million refinery project.

"What the tax has done is take away all the upside," said Doug Suttles, president of BP Alaska. The U.K.-based oil company paid more than $500 million in taxes to Alaska last quarter — far more than it earned in profits from Alaskan oil, according to Suttles.

Alaska has no personal income tax and no statewide sales tax. Alaska is the only true welfare state in the United States paying dividends to its residents that have doubled since 2006 just as oil tax revenues have double since 2006 but in far greater amounts than the distribution of dividends would suggest, hence the surplus. The economics of the Alaskan government have very little relevance to national economics.