Fracking

As the new fracking process gains momentum, the US will start down the road of being a net exporter of oil and gas. The price of gas is low and getting lower causing industries around the world which use gas to move production to the US. This includes not only industries that use gas for fuel but many chemicals use methane as a starting point. Add to this the weaker, (cheaper) dollar, increased productivity from US companies along with stagnate wage growth and exports become more competitive. The demand for our biggest exports of farm products has increased with growth in China and India and prices have risen accordingly. As these trends continue the trade deficits that have been a drag on the US economy will decline causing further growth in the economy.