The present invention provides improved drilling fluids that comprise improved shale inhibiting components, and methods for using these drilling fluids in connection with drilling in a subterranean formation. The drilling fluids comprise water and an improved shale inhibiting component. Optionally, other additives may be added to the drilling fluids of the present invention, including, inter alia, antifoams, biocides, bridging agents, corrosion control agents, dispersants, flocculants, fluid loss additives, foamers, H.sub.2S scavengers, lubricants, oxygen scavengers, salts, scale inhibitors, viscosifiers, and weighting agents.