Scale Economy and Technological Progress Resonance

When industrial policy deliberately expands unit scale, it simultaneously triggers technological innovation at that scale; conversely, technological progress makes larger scales economically viable. The two reinforce each other in a positive feedback cycle rather than stacking linearly. National-level consolidation policies are not merely 'old-to-new' replacement, but fundamentally redefine an industry's economic foundation.

Read the daily articles behind this idea on the Chinese edition.