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Jobs and Exposure to International Trade within the Service Sector in Sweden

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  • Kent Eliasson
  • Pa¨r Hansson
  • Markus Lindvert

Abstract

The service sector is very heterogeneous with respect to internationalization; in some industries there is international trade (or it may potentially exist), whereas other industries are non-tradable. Data on international trade in services is, however, typically very limited, making it difficult to identify in which industries there are international trade. In this paper, we partially surmount the problems with insufficient service trade statistics by calculating locational Ginis for different industries in the private business sector as well as in the public sector. The basic idea is that from the regional concentration of different activities within a country one can identify industries where there appears to be regional trade, and hence also a potential for international trade. Based on our method we find that the number of employed in tradable service appears to be at least as large as in the manufacturing sector. Remarkably, a larger share of the skilled labor exposed to international trade is working in the service sector than in manufacturing, while a majority of the less skilled labor working in tradable industries is employed in manufacturing. When it comes to employment growth, we observe that the employment has increased in tradable service, while it has fallen in the manufacturing sector (the whole sector is regarded as tradable).
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Suggested Citation

  • Kent Eliasson & Pa¨r Hansson & Markus Lindvert, 2012. "Jobs and Exposure to International Trade within the Service Sector in Sweden," The World Economy, Wiley Blackwell, vol. 35(5), pages 578-608, May.
  • Handle: RePEc:bla:worlde:v:35:y:2012:i:5:p:578-608
    DOI: j.1467-9701.2011.01413.x
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    References listed on IDEAS

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    1. Eli Berman & John Bound & Zvi Griliches, 1994. "Changes in the Demand for Skilled Labor within U. S. Manufacturing: Evidence from the Annual Survey of Manufactures," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(2), pages 367-397.
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    Cited by:

    1. van den Berg, Gerard J. & Paul, Alexander & Reinhold, Steffen, 2020. "Economic conditions and the health of newborns: Evidence from comprehensive register data," Labour Economics, Elsevier, vol. 63(C).
    2. Kent Eliasson & Pär Hansson, 2016. "Are workers more vulnerable in tradable industries?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 152(2), pages 283-320, May.
    3. van den Berg, Gerard J. & Paul, Alexander & Reinhold, Steffen, 2018. "Econometric analysis of the effects of economic conditions on the health of newborns," Working Paper Series 2018:24, IFAU - Institute for Evaluation of Labour Market and Education Policy.
    4. Avdiu,Besart & Bagavathinathan,Karan Singh & Chaurey,Ritam & Nayyar,Gaurav, 2022. "India's Services Sector Growth : The Impact of Services Trade on Non-tradable Services," Policy Research Working Paper Series 10094, The World Bank.
    5. Kemeny, Tom & Osman, Taner, 2018. "The wider impacts of high-technology employment: Evidence from U.S. cities," Research Policy, Elsevier, vol. 47(9), pages 1729-1740.
    6. Joachim Wagner, 2011. "Productivity and International Firm Activities: What do we know?," Working Paper Series in Economics 194, University of Lüneburg, Institute of Economics.
    7. Rhoden, Imke, 2020. "Innovating in Krugman’s Footsteps – Where and How Innovation Differs in Europe: Static Innovation Indicators for Identifying Regional Policy Leverages," EconStor Preprints 218875, ZBW - Leibniz Information Centre for Economics.
    8. Flora Bellone, 2018. "New Impacts of Globalization : Introduction to Selected Papers presented at the 66th Annual," Economie et Statistique / Economics and Statistics, Institut National de la Statistique et des Etudes Economiques (INSEE), issue 503-504, pages 79-85.
    9. Philippe Frocrain & Pierre-Noël Giraud, 2017. "The evolution of tradable and non-tradable employment: evidence from France," Working Papers hal-01695159, HAL.
    10. van den Berg, Gerard J. & Paul, Alexander & Reinhold, Steffen, 2018. "Economic Conditions, Parental Employment and Health of Newborns," IZA Discussion Papers 11338, Institute of Labor Economics (IZA).
    11. Eliasson, Kent & Hansson, Pär & Lindvert, Markus, 2018. "Decomposing value chains within Swedish multinationals," Working Papers 2018:9, Örebro University, School of Business.

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    More about this item

    JEL classification:

    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J44 - Labor and Demographic Economics - - Particular Labor Markets - - - Professional Labor Markets and Occupations
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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