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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Liberalization of trade in producer services - the impact on developing countries
Authors:Hodge, J.ISNI
Nordås, H.ISNI
Year:2001
Periodical:South African Journal of Economics
Volume:69
Issue:1
Pages:93-122
Language:English
Geographic terms:Tanzania
South Africa
Namibia
Subjects:service industries
economic law
External link:https://onlinelibrary.wiley.com/doi/10.1111/j.1813-6982.2001.tb00004.x/pdf
Abstract:It is often argued that developing countries do not possess comparative advantages in service industries and could therefore lose from trade liberalization. The present authors argue, however, that poor countries in sub-Saharan Africa have typically comparative advantage in primary sectors, labour-intensive manufacturing and labour-intensive services. Liberalization of trade in services will most likely result in a further increase in OECD countries' share of world output in skill - technology - and capital-intensive services, but accompanied by an increase in developing countries' share of world manufacturing. This article first briefly reviews the theoretical literature on trade in services and discusses patterns of trade in services. Then it presents and discusses data on the role of producer services in the economy, focusing on South Africa, Namibia and Tanzania. Finally, the experience with liberalization of trade and investment in financial and telecommunication services is discussed, followed by a summary and conclusions. Bibliogr., notes.
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