Top three facts about US energy production and geopolitical power

Top three facts about US energy production and geopolitical power

Shale development may be the key to the US
remaining the sole superpower for the next two generations.
Energy is one of the keys to global political power.
The US is in a great position with regard to energy. We have shale, we have gas, we
have oil, and more importantly we have competitive markets—anyone can develop them. Around
the world, our rivals are in much worse positions. Everybody knows about Russia’s problems,
Venezuela’s problems, but even China—thought to be an economic powerhouse—is far behind
the United States. The US is the number one producer of energy in the world, and China
is now the number one importer. The reason for that is China doesn’t allow competition.
It doesn’t allow private property rights. As a result, production of coal and crude
oil are down requiring more imports even if economic growth slows. So while US gas production
is soaring, Chinese gas imports are soaring. In 2008 at the height of the financial crisis,
it seemed as if US global was fading away. Now we’re much sought after as an ally,
cooperation in energy, trade, US energy production being shipped overseas.
While the US will remain committed to the Middle East, we don’t need to be dependent
anymore on Middle Eastern energy producers like Saudi Arabia and Iran. In contrast, China
is now the largest importer from the Middle East and could become enmeshed in the same
kind of problems in the Middle East that have plagued the United States for the last forty
years. There are plenty of risks to this. Here in
the United States we could just decide not to produce as much energy as we have been.
We could do that for environmental reasons or just for political reasons. In China, they
could return to a path of market reform making the Chinese economy and energy sector much
stronger. Even if everything works out the way we expect
in the US and China, other developments could occur such as China moving closer to Russia,
threatened by the revitalization of American power.
Seven years ago, Goldman Sachs predicted $200 a barrel oil. That turned out to be completely
wrong. What has also turned out to be completely wrong is the inevitable decline of America
and the rise of China. In fact, the exact opposite is occurring: the US is rising and
China is stagnating.


12 thoughts on “Top three facts about US energy production and geopolitical power”

  • But aren't low oil prices good for the chinese population?Also what happens with these shale companies if the FED decides to raise interest rates?How much more will the shale companies have to pay back?

  • Energy independence doesn't have to be dependant on ancient hydrocarbons. It's cheap energy that is, solar is starting to become very cheap to initialize. Excess converted to hydrogen reserves can be key to this.

    Energy reserves created rather than extracted makes more sense.

  • I don't mind these videos they are interesting. But i do feel that it is leaning to much towards USA best and strongest.
    Even though the US is struggling with a lot of corruption and stability issues.
    Weakening military power and also a troubled diplomatic position which is probably the reason for the US to suddenly be so humble.

  • These videos do provide some excellent points if we also spend billions diversifying our energy more renewable sources basically less coal and gas for electric power plants into greener energy's we could crash the foreign markets with cheap high grade american fuel. Its pretty clear we are playing a very complex game here.

  • Watching in 2018 and shale has been out-competed. We need renewable energy and the internet of things to survive.

  • You are an idiot! USA does depends in Mexico for oil. Right now and for more than 70 years USA has been exploiting our oil from Mexico. And USA has his eyes on Venezuela when USA stars running out of oil to. You are a bad geopolitics.

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