| Asia's Economies Can Embrace Services to Boost Growth and Productivity
October 30, 2024--Manufacturing has been the engine of growth in Asia, but a transition to modern, tradable services could be new source of growth and productivity |
| Employment and production typically move from agriculture to manufacturing to services, as part of natural progression that comes with rising income. Today, many Asian countries-including China, Indonesia, Korea, and Thailand-are highly industrialized. If history is a guide, industry's share of production will shrink as more activity passes to services. Indeed, the growth of services has already drawn about half of the region's workers into that sector, up from just 22 percent in 1990, as hundreds of millions moved from farms and factories. |
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