The poorer the country, the larger the percentage of labour force engaged in

Assessment: JAMB UTME - Economics - 2025 Subject: Economics

Question 1 Report

The poorer the country, the larger the percentage of labour force engaged in

 

Answer Details

In developing (poorer) countries, the economy is typically dominated by the primary sector, of which agriculture is by far the largest component. A large percentage of the labour force is engaged in agriculture because:

  • Agriculture is the most accessible economic activity, requiring relatively low capital investment and basic skills.
  • Poorer countries often lack the infrastructure, technology, and capital needed for large-scale manufacturing or mining.
  • Subsistence farming is the main source of livelihood for rural populations, which form the majority in developing nations.
  • The industrial and service sectors are not sufficiently developed to absorb the available labour force.

As countries develop economically, the labour force gradually shifts from the primary sector (agriculture) to the secondary sector (manufacturing and industry) and then to the tertiary sector (services). This pattern of structural change is described by the Clark-Fisher model of economic development.

Manufacturing, trading, and mining are sectors that expand as a country industrialises, but in the poorest countries, it is agriculture that employs the largest share of workers.

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