Fracked Taxpayers and Communities

Abstract

Abstract The US and Argentinian shale industry enjoyed staunch support from domestic political, financial, and legal institutions, which enabled the industry to expand while externalizing financial, public health, and environmental costs to the general public. The Argentinian government’s decision to finance shale investments and the US and Argentinian governments’ decisions to finance the industry bailout sustained the industry even as its poor financial outlook that predated the COVID-19 crisis became widely acknowledged. State and provincial governments in both the United States and Argentina employed the legal system to prohibit local government and local communities, including Indigenous communities, from restricting shale development and infrastructures in their localities. Politicians’ support for the industry, cloaked as concerns for workers and communities, fortified the industry’s privileges. Reforming the entrenched institutional support for the industry, although a formidable challenge, is necessary for these countries to shift away from oil and gas dependency.