A service economy is an economic system where the majority of jobs and income come from providing services rather than producing goods. This includes industries like healthcare, education, finance, and hospitality. In a service economy, businesses focus on meeting the needs of consumers through personal interaction and expertise. As economies develop, they often shift from manufacturing to services. This transition can lead to increased employment opportunities in sectors such as technology, customer service, and entertainment. The growth of the service economy reflects changes in consumer preferences and advancements in technology, making services more accessible and essential.