Which sequence best describes how the shares of primary, secondary, and tertiary sectors typically change as a country develops?

Which sequence best describes how the shares of primary, secondary, and tertiary sectors typically change as a country develops?

• A. Primary declines, Secondary grows and then stabilizes, Tertiary rapidly expands.
• B. Primary grows, Secondary declines, Tertiary remains constant.
• C. Primary, Secondary, and Tertiary all grow at the same rate.
• D. Primary declines, Secondary grows and then stabilizes, Tertiary rapidly expands.

Answer: (D)

As an economy grows, its production shifts from farming to industry and then to services. The share of the primary sector (agriculture) declines as productivity rises and people move to cities. The secondary sector (manufacturing) expands during industrialization, but as the economy matures its growth slows and the share stabilizes. Meanwhile, the tertiary sector (services) begins to dominate, expanding rapidly due to rising incomes, urbanization, and growing demand for financial, educational, health, and other services. This sequence—primary declining, secondary growing and then stabilizing, tertiary expanding rapidly—best reflects how structural transformation unfolds with development.

As an economy grows, its production shifts from farming to industry and then to services. The share of the primary sector (agriculture) declines as productivity rises and people move to cities. The secondary sector (manufacturing) expands during industrialization, but as the economy matures its growth slows and the share stabilizes. Meanwhile, the tertiary sector (services) begins to dominate, expanding rapidly due to rising incomes, urbanization, and growing demand for financial, educational, health, and other services. This sequence—primary declining, secondary growing and then stabilizing, tertiary expanding rapidly—best reflects how structural transformation unfolds with development.