Fundamental implications of the neglect of servicisation by development economists.

The article focuses on the phenomenon of servicisation—the structural transformation in developing economies characterized by a shift from agriculture directly to services rather than industrialisation—and its neglect in economic research and policy discourse. Despite data showing that servicisation has been the dominant pattern since the early 1990s and is associated with faster growth, it remains an ignored anomaly compared to the extensively studied industrialisation. This neglect exemplifies confirmation bias in economics, where prevailing theories persist despite contradictory empirical evidence, weakening the credibility of policy advice. The article argues that improving the policing of economic methods, protecting those who highlight anomalies like servicisation, and addressing conceptual and data challenges related to services are essential to strengthen the empirical basis of development economics and enhance the plausibility of its policy recommendations.