Eli5: What is service economy?

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I know that there are primary sector (raw resources) and secondary (manufacturing). The first one is deriving value from land (agriculture or digging stuff up). The second one is creating value by adding work (making chairs out of extracted metal). But service sector sounds like creating value out of thin air.

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Anonymous 0 Comments

Chairs are not a good example but let’s think of electrical wiring. You have the mining of copper, making it into electrical wires and finally the people that install the wiring. Not everyone has the skill or the time to install the wiring themselves so they pay someone else to do it for them. That’s the service sector.

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