Global industrial output was 57 times greater in 2010 than it was in 1900. In other words, manufacturing has grown far faster than the overall economy. The main reason for this is that factories keep getting smarter in ways that hair salons do not.
From a review of Peter Marsh’s new book in the Economist. And as for hair salons, as for universities and hospitals. Time to reread Baumol, and his new book.