You missed the point. Sweden competes very well against GLOBAL opposition. You dont need domestic volume if you export.
You dont need cheap labour when you build and sell quality products at premium prices. Do you really think it costs 3 times the price of a Hyundai to build a merc, volvo, BMW, Audi?? No way, but even if labour costs were higher and robots cost much the same wherever the margins are huge.
However you do need a government that has vision beyond the last tonne of ore and kilo of wool. That has a limited future. Maybe 50 years??
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