Regulatory innovation: why the shale revolution happened in the US

A fascinating look at how (among other things), property rights allowed for the development of shale in the US as it stagnates elsewhere (WalterRussellMead via Instapundit)

America remains the sole state to capitalize on its shale oil and gas resources, and difficulties in countries like the UK and China remind us that the shale revolution was more than just the result of applying the dual techniques of hydraulic fracturing and horizontal well drilling to underground hydrocarbon reservoirs. Rather, the US energy revolution was the product of a mature oil and gas drilling industry, replete with robust supply chains. The boom depended on a unique set of mineral rights that provided landowners with a financial incentive to invite drillers on to their land, on a deep pool of capital, and on a variety of small wildcatting firms willing to take on the risk of drilling exploratory wells. . . .