Fei Rami's Model

Phases	Situation	Description
Phase 1	\(MP = 0\)
Phase 2	\(AP \gt MP\)	As labor is transferred to industry, the shortage of labor \(\implies\) increase in agriculture output and wages. But still \(w_{A} \lt w_{M}\)
Phase 3	\(MP \gt \text{Institutional Wage}\)	Because agricultural faces the labor scarcity. Every worker is highly productive. Urban sector is still stuck at institutional wage. Stops transfer of labor