The Implications of Lower Oil Prices for the US Economy Amid the Shale Boom

Lead PI: Jason Bordoff , James Stock

Unit Affiliation: Center on Global Energy Policy (CGEP)

December 2014 - Ongoing
Active
North America ; United States
Project Type: Research Outreach

DESCRIPTION: Oil prices have fallen nearly 40 percent since June, translating to a drop of nearly $1 in gasoline prices. Declines in oil prices are generally seen as an economic windfall for net petroleum importers, like the United States. As the United States becomes a much larger oil producer as well, however, lower prices create different winners and losers. This policy brief explores the overall economic impacts of a sharp drop in oil prices for the United States. It was co-authored by Center Founding Director Jason Bordoff and Harvard University Professor James Stock, who served until July 2014 as a Member of the President’s Council of Economic Advisers.