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The Comparative Advantages in the Services Sector of Developing Economies

Author

Listed:
  • Nuno Cunha

    (Faculty of Economics, University of Porto, Porto, Portugal)

  • Rosa Forte

    (Faculty of Economics, University of Porto, and CEF.UP – Center for Economics and Finance at UP, Porto, Portugal)

Abstract

International trade of goods and services plays an important role in the growth of economies. To make this growth sustainable in the long run, it is important to understand in what goods or services countries have comparative advantage (CA). The present work focuses on the ten biggest developing economies, revealing their CA in the services sector. The main results reveal that India has a CA in computer and information services, Macao, Thailand and Turkey in travel services, China, Hong Kong, India and Taiwan in other business services, Korea in construction and transport services, and Singapore in financial and transport services.

Suggested Citation

  • Nuno Cunha & Rosa Forte, 2017. "The Comparative Advantages in the Services Sector of Developing Economies," Global Economy Journal (GEJ), World Scientific Publishing Co. Pte. Ltd., vol. 17(4), pages 1-24, December.
    • Handle: RePEc:wsi:gejxxx:v:17:y:2017:i:04:n:gej-2017-0063
    DOI: 10.1142/GEJ-2017-0063
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    More about this item

    Keywords

    exports; trade; comparative advantage; developing countries; services;
    All these keywords.

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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