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Factors affecting trade in services: evidence from panel data

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  • Yujiang Bi
  • W. Robert J. Alexander
  • Zhen Pei

Abstract

In the course of economic development, nations have typically progressed through stages in which agriculture, then manufacturing and, finally, services predominate. Concerns around the sustainability of manufacturing and goods export-led growth raise the importance of trade in services. In the context of a panel model, controlling for the factors that determine trade in general, we examine the determinants of trade in services in a sample of 46 countries over the decade 2004–2015. We find an ambiguous pattern of effects from institutional quality but strong evidence of the importance of trade in goods for trade in services.

Suggested Citation

  • Yujiang Bi & W. Robert J. Alexander & Zhen Pei, 2019. "Factors affecting trade in services: evidence from panel data," Applied Economics, Taylor & Francis Journals, vol. 51(34), pages 3730-3739, July.
    • Handle: RePEc:taf:applec:v:51:y:2019:i:34:p:3730-3739
    DOI: 10.1080/00036846.2019.1584379
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    Cited by:

    1. Roman Wosiek & Anna Visvizi, 2021. "The VWRCA Index: Measuring a Country’s Comparative Advantage and Specialization in Services. The Case of Poland," Economies, MDPI, vol. 9(2), pages 1-12, April.
    2. Makram El‐Shagi & William C. Sawyer & Kiril Tochkov, 2022. "The income elasticity of import demand: A meta‐survey," Pacific Economic Review, Wiley Blackwell, vol. 27(1), pages 18-41, February.
    3. Socrates K. Majune & Judy K. Kaaria & Evelyne N. Kihiu, 2023. "Determinants of intra‐COMESA trade in services," African Development Review, African Development Bank, vol. 35(4), pages 416-428, December.
    4. Ondøej Šíma, 2022. "International Trade in Services: Structural Determinants of Balance of Services," Journal of Economics / Ekonomicky casopis, Institute of Economic Research, Slovak Academy of Sciences, vol. 70(2), pages 188-208, February.
    5. Adrian Tudor TUDORACHE, 2021. "COVID-19 Crisis and International Trade.Two Country Cases," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 22(5), pages 659-669, December.

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