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This. The comparative advantage nations have over each other in energy in a post-fossil fuel world will be much reduced. That is, Saudi Arabia has a huge adva
by thinkcontext 8y ago
This.
The comparative advantage nations have over each other in energy in a post-fossil fuel world will be much reduced. That is, Saudi Arabia has a huge advantage over Japan in terms of cheap fossil fuel energy, so Japan imports a lot from them. Though Saudi Arabia likely has an advantage over Japan in renewable resources, its not as dramatic as their fossil fuel advantage, so Japan would invest in their own energy resources and import less of them.
Because of this there will likely be much less international energy traded in general.