Jeremy Grantham: US Fracking is the largest red herring in the history of oil. Nothing that really matters in the long term is changed by US fracking... It has not prevented the underlying costs of traditional oil from continuing to rise rapidly. Grantham says when the costs of producing oil rise, the prices will rise. The current fall in price does nothing to offset the squeeze on the total economy from rising costs. It merely transfers massive amounts of income from one subgroup (oil producers) to another (oil consumers), in a largely zero-sum game. (VIEW LINK) (p.15)