The shale boom is just getting started

Tyler Cowen: As mentioned above, the price experience and the growth slowdown from the Libyan crisis is far from encouraging. As for Syria, China would very much like to see a peaceful resolution of this entire situation and they do not care per se who comes out on top. Since the US and China want in broad terms the same thing from this conflict, there is a good chance that can happen.

James Stafford: As the debate continues over whether the US should export unlimited natural gas or keep it at home, what would be better for the US economy over the long-run, and why?

Tyler Cowen: Trade benefits both nations. And it will encourage the supply of gas all the more in the longer run. This is a win-win, and I see no good reason to restrict exports.

James Stafford: Approvals for US LNG export projects appear to be picking up momentum. Has the export question already been decided?

Tyler Cowen: The overall record of the US federal government is pro-business and pro-export, and I see no reason to bet against that record this time around.

James Stafford: How has the US shale revolution affected the American economy?

Tyler Cowen: Our trade balance will be coming into order and markets already see this. Energy prices are cheaper than they would be. We've even cut carbon emissions, unexpectedly.

James Stafford: What the general public remains confused about is why gas prices are so high amidst this shale boom. How do we address this on a level that is accessible to a general audience?

Tyler Cowen: The shale boom is just getting started, most of all on a global level. And a lot of complicated substitutions are required for shale gas to lower retail gasoline prices, for instance greater use of gas to power transportation. The US public never has been very rational about the price of gasoline, and don't expect that to change anytime soon. Gasoline is a price which we see and pay very often, too often. That means voters remember it all too well.

James Stafford: How has the US shale boom affected the global economy, and how will US exports play into this?

Tyler Cowen: Our shale boom is only starting to affect the global economy. The question is who else will follow suit. Russia? Argentina? Poland? We will see, but I expect a lot more supply to come on line.

James Stafford: In the world of finance and banking, energy market manipulation has become a hot topic, most recently with the scandal around JPMorgan. How does this style of energy market manipulation affect consumers?