The Economic Impact of Shale Gas Production in the U.S.
Abstract: Energy is important to our daily lives. A price change of one energy
type may influence our consumption choices, commodities prices and industry production. For
the United States, shale gas is becoming a promising source of natural gas because of the
rapid increase in its reserve and production capacity. Shale gas production is projected to
be a large proportion of U.S. gas productio... read moren, as predicted by Energy Information
Administration (EIA). However, besides knowing the big picture, more details are needed
before characterizing shale gas as a "game changer." It is interesting to address questions
like to what extent the production of shale gas could affect other industries' production,
stabilize commodities' prices, and what are the impacts on factor payments, capital
returns, labor payments and household consumption. In this study, I use a CGE model to
measure the impact on industry and the change in social welfare associated with shale gas
Thesis (M.S.)--Tufts University, 2013.
Submitted to the Dept. of Economics.
Advisor: Drusilla Brown.
Committee: Jeffrey Zabel, and Yannis Ioannides.
Keywords: Economics, and Energy.read less