eli5: Why does Services make up such a massive percentage of developed economies compared to Agriculture and Manufacturing
In: 47
Short answer : productivity gains.
It is way easier to do things more efficiently with the help of technology in industries and agriculture.
You can add all the fancy tech you like but if a teacher needs 1h to teach something, he needs that 1h. Similarly your hairdresser probably do as many haircuts a day as an hairdresser did 100years ago.
A developed economy will be able to reduce the proportion of jobs that industry and agriculture represent but won’t be able to do the same for services. The more inhabitants you have the more jobs in services you need regardless (more or less) of your technology (there are some productivity gains but they are not comparable to industry or agriculture).
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