Now even manufacturing jobs are capital intensive...

 While manufacturing and services both contribute to job creation, services generally offer the potential for higher-paying jobs due to factors like higher skill requirements, greater intellectual property value, and the ability to scale globally.

Here's a more detailed explanation:

1. Skill Requirements and Specialization:

Services:

Service industries, particularly those in technology, finance, consulting, and healthcare, often require highly specialized skills and advanced education. This higher level of expertise commands higher salaries.

Manufacturing:

While manufacturing also has skilled roles (e.g., engineers, technicians), it also includes a significant number of lower-skilled positions that may not offer the same earning potential.

2. Intellectual Property and Value Creation:

Services:

Services can generate significant value through innovation, intellectual property, and customized solutions. This often translates into higher profit margins and, consequently, higher salaries for employees.

Manufacturing:

While manufacturing can also innovate, it often involves producing standardized goods. The value of these goods may be more susceptible to price competition and commoditization, limiting the potential for high wages.

3. Global Scalability and Market Access:

Services:

Many service industries have the potential to scale globally, reaching a wider customer base and generating more revenue. This scalability can lead to greater financial success and higher pay for employees.

Manufacturing:

Manufacturing, particularly in sectors with high transportation or logistical costs, may face limitations on its ability to scale globally.

4. Labor Laws and Regulations:

Services:

In some cases, service industries may have more flexible labor laws and regulations, which can contribute to higher wages and better working conditions.

Manufacturing:

Manufacturing, especially in certain industries, may be subject to more stringent regulations related to safety, environmental impact, and labor practices, which can sometimes impact wages.

5. Technological Advancements:

Services:

Technological advancements have significantly impacted the service sector, creating new opportunities for high-paying jobs in areas like artificial intelligence, data science, and digital marketing.

Manufacturing:

While manufacturing has also benefited from technology, the impact has been more focused on automation and efficiency rather than creating entirely new job categories.

Important Considerations:

Both sectors are important:

While service jobs may offer higher earning potential, manufacturing remains crucial for economic growth, particularly in developing countries, providing jobs for a wide range of skill levels and contributing to technological innovation.

Skill development is key:

Regardless of the sector, investing in education and training is essential for individuals to access high-paying jobs.

Government policies can influence:

Government policies related to education, infrastructure development, and labor laws can play a significant role in shaping the types of jobs created and the associated wages in both manufacturing and services.

Manufacturing creates blue collar jobs and now even manufacturing jobs are capital intensive so creating jobs could be tough, though if the government invests big on education and skills, a lot of employment and high paying jobs could be created in the services sector in INDIA.