What is the relationship between services and manufacturing?
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The nature of relations between service and manufacturing has always been an ongoing issue. Trying to create the most efficient economic model, people wanted to determine the character of relations between these issues and which should be given more attention. However, at the moment, it is possible to say that they both are equally important as neither services nor manufacturing alone could guarantee the economic rise of a region. Modern Africa could be considered a good example of this statement. At the moment, they develop many services; however, manufacturing remains at the same low level as the industry does not evolve. For this reason, millions of young people are not able to find jobs, pay taxes, and promote the rise of the region as well as other services. In this regard, we could state that services and manufacturing are interdependent, and one element precondition the rise of another one. In case some regions are characterized by the powerful industrial sector, people living there will benefit from increased incomes and will have needs for diverse services. The given circle could be considered the integral element of modern society as it preconditions the rise or collapse of different communities, states, and regions.
What policies can governments adopt to promote the growth of manufacturing?
Besides, the growth of manufacturing is one of the main factors needed for the empowerment of a certain region and its becoming prosperous. In this regard, the government should introduce a set of regulations to promote the evolution of this sector. First of all, the policy aimed at the decrease of the unemployment rate should be created. In case a person is not able to find a job, he/she should be suggested a job opening in the sphere of manufacturing. The given policy will help to solve several problems at the same time. First of all, people who have no money to support their families will obtain an opportunity to earn them. It will also help to reduce poverty. Moreover, the influx of manpower to the manufacturing sector will stimulate its more efficient functioning and growth. The high demand results in the appearance of supply, which means that new facilities will be created to satisfy existing needs. The funds needed for the creation of new units will come from the manufacturing sector stimulated by the increased number of workers. Finally, it is also crucial to introduce a limit for state-financed openings in different educational establishments for people to be able to obtain occupation and work in the manufacturing sector contributing to the rise of the region.
What evidence exists to support the argument that manufacturing promotes economic growth?
There are several obvious facts that could be suggested to prove the idea that manufacturing promotes economic growth. First of all, it will reduce the unemployment rate, which is crucial for a state. People who have a job are able to pay taxes which are the main source of income for the budget. The increased budget means that the government is able to spend more money on social initiatives aimed at the gradual improvement of peoples quality of lives and well-being. Moreover, the government will also be able to create new plants and factories where new workers will find jobs. If to consider the fact that manufacturing and services are interconnected, the rise of the first one will also result in the evolution of this important sector and the country as a whole. For this reason, manufacturing promotes economic growth and should be cultivated.