Oil-prices and growth in other countries...

The US now has become an oil producing country instead of a big importer of oil like before. It has cut down alot on oil-imports because of increase in the domestic oil production. Nonetheless for a considerable number of times the expansion of the US economy was constrained by oil-price rise because they directly add to the other prices in the economy and stoke inflation, which is tamed by increasing interest rate and reducing demand/supply and employment. Price stability and full-employment are important for a just distribution of income according to product which is the goal of Political-Economy or Economics. Therefore to achieve this objective it is important that oil-prices remain under control. Just like the US lower oil-prices are also important for growth of other countries because of the aforesaid aims. The discovery of the Shale-oil in the US is like a big innovation over oil production. It is extracted from sand and will be helpful in increasing supply of oil to the other countries and lower prices will help demand and employment. But, so far the US has restricted exports of oil from US. It is prohibited. Lower price of oil has also affected production and employment in the US. Oil is now a bigger industry in the country and also creates alot of employment. However, as far as Shale-Oil is concerned its cost of production is higher than normally. But, since it is creating employment with in the economy which has a direct effect on demand for labour, income and growth it should be done and excess should be exported to other countries. Oil prices (few quarters back) were trading near $ 40 and the normal cost of drilling normal oil is around $ 5-10. Therefore, if the cost of production of Shale-Oil is even double, it will be profitable to supply at $ 30 or 40 or 50 or over and increase competition. As we have seen oil-producers manipulate supply to avoid loss, the US can do the same.  Participating in competition is rewarded. Therefore, the oil-production in the US should continue to reduce slack in the labour market. It has a lot of potential to create employment. Only started...Moreover, when it will be exported it will also reduce the limit posed by higher inflation and interest-rate and growth in other economies...