Solar scale economies
Solar panels production is benefitting from economies of scale which is beneficial for the shift from fossil fuels to renewable energy. Since 1976 the cost per watt has decreased from about USD 106 to just USD 0.38 in 2019. As production increases and cumulative installed capacity followed, the price of solar panels decreased exponentially. One could even argue that this is a self-reinforcing cycle. Demand increases as price decreases and if producers can benefit from economies of scale, they remain profitable despite lower selling prices.