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The latest Nobel prize for economics was awarded to Paul Krugman.

Krugman’s work looked at on how economies of scale — the idea that as the volume of production increases, the cost of making each unit falls — worked alongside population levels and transportation costs to affect global trade. Krugman’s theory was that because consumers want a diversity of products, and because economies of scale make production cheaper, multiple countries can build similar products, such as cars. Sweden builds its own car brands for export and to sell at home, for example, while also importing cars from other countries.

Funny, I know Krugman’s editorials from the New York Times, but I did not remember he was an economist.

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