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24 L. SCHLOGL AND A. SUMNER
employment generation potential vis-à-vis services (see later discussion).
Figure 3.1 shows the sectoral structure of GDP and employment relative
to GDP per capita (and one can also assess the relative labor or capital
intensity of regional production by the position of the value-added and
employment curves: if the employment curve is above the value-added
curve then production in that sector and region is relatively more capital
intensive).
As is well known, the agriculture component is falling in share of
GDP and employment in all regions and is very low in Latin America.
In East Asia, the declining shares of agriculture in GDP and employment
over the period is notable relative to other regions. The rise in manufac-
turing shares in East Asia’s GDP over the period is particularly impres-
sive, though this is less the case for employment shares. This suggests
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Fig. 3.2 Growth decomposition by sector, by region, 1960–present (change in
growth = 100). Source Author’s calculation based on Timmer et al. [2015]
Disrupted Development and the Future of Inequality in the Age of Automation