Energy Security, International Investment, and Democracy: The Case of the United States Shale Oil and Gas Industry

ABSTRACT

Proponents of the US shale oil and gas industry argued that American citizens’ economic prosperity and national security were at stake if the industry was not rapidly expanded. Following copious amounts of a certain type of “patriotic” rhetoric, the industry grew rapidly. Simultaneously, foreign ownership of US shale industry infrastructure occurred in tandem with calls for new policies and laws to limit US citizens’ democratic rights with regard to the industry’s activities. As a result, we argue that the development of the US shale industry has weakened national security by creating negative security externalities and eroding democratic values. We offer implications for other democratic societies rich in natural resources.

KEYWORDS:

• Energy
• environment
• foreign investment
• national security
• natural gas

Notes

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