ELI5; What will happen to the oil producing countries when we switch away from fossil fuels?
In: Economics
They’ll adapt to other means of producing products. There will always be a need for at least some fossil fuels. Oil is used to produce both plastic and rubber products.
They’re already setting up renewable energy sources. They have been for years. [For example, this article is 4 years old. ](https://www.google.com/amp/s/globalriskinsights.com/2017/04/middle-east-solar-energy-gold-rush/amp/)
we arabs have this saying that goes something like this… “My Grandfather road a camel, my father a Mercedes, and I a Range Rover. My son might drive a Range Rover, but his son will ride a camel.”
Probably just a slight reduction in regards to using it as a fuel source other then this; Absolutely nothing, everything you touched, consumed, and utilized on a daily basis; oil has a part in its production, cultivation or distribution. This idea we don’t need oil is a misunderstood fable. We do not need to burn it to to get from point a to point b as a daily driver for the general consumer. That’s about it. If anything ;
We as a while society would not see a change in consumption of oil to the relitive levels because we would probably drive up the consumption of oil through consumerism of products.
Norway invests a lot of the money they get from oil into the stock market, because they realize the oil isn’t going to last forever. That [investment](https://www.nbim.no/) is currently worth more than $1.3 trillion, or $255,000 per Norwegian.
There’s a reason why places like Dubai is trying to become a tourist and business destination, Saudi Arabia is investing vast sums of their sovereign wealth into other businesses. Most of these countries realize their time for reaping wealth from oil is not infinite and they are using the financial gains from it to take their next steps to remain prosperous.
One of two things.
1: They pivot their economy to something else. The UAE basically did this by leaning heavily into being a resort destination.
2: Their economy crashes and burns hard. See: Venezuela.
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