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Sector Effects of the Shale Gas Revolution in the United States


  • Krupnick, Alan

    () (Resources for the Future)

  • Wang, Zhongmin

    () (Resources for the Future)

  • Wang, Yushuang


This paper reviews the impact of the shale gas revolution on the sectors of electricity generation, transportation, and manufacturing in the United States. Natural gas is being substituted for other fuels, particularly coal, in electricity generation, resulting in lower greenhouse gas emissions from this sector. The use of natural gas in the transportation sector is currently negligible but is projected to increase with investments in refueling infrastructure and natural gas vehicle technologies. Petrochemical and other manufacturing industries have responded to lower natural gas prices by investing in domestically located manufacturing projects. This paper also speculates on the impact of a possible shale gas boom in China.

Suggested Citation

  • Krupnick, Alan & Wang, Zhongmin & Wang, Yushuang, 2013. "Sector Effects of the Shale Gas Revolution in the United States," Discussion Papers dp-13-21, Resources For the Future.
  • Handle: RePEc:rff:dpaper:dp-13-21

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    References listed on IDEAS

    1. Curtis M. Oldenburg & M. Mercedes Maroto‚ÄźValer, 2011. "Welcome," Greenhouse Gases: Science and Technology, Blackwell Publishing, vol. 1(1), pages 1-2, March.
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    Cited by:

    1. Catherine Hausman & Ryan Kellogg, 2015. "Welfare and Distributional Implications of Shale Gas," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 46(1 (Spring), pages 71-139.

    More about this item


    shale gas; electricity; transportation; and manufacturing;

    JEL classification:

    • L71 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Mining, Extraction, and Refining: Hydrocarbon Fuels
    • L9 - Industrial Organization - - Industry Studies: Transportation and Utilities
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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