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Transportation adds in a big way to costs. The mathematics of transportation (and hence the economics) from the last century onwards gives some fascinating insights into the challenges of getting raw materials and products from one place to another. A transition from muscle power (oxen, horses) and mechanical (ships) transportation to a-more-technology driven one (steam engines) was greatly responsible for fuelling the industrial revolution. Shown here are brief but profound glimpses of that evolution in transportation and its effects:

http://unenumerated.blogspot.com.au/2014/10/transportation-divergence-and.html

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