Services Linkages and the Value Added Content of Trade
Services trade constitute roughly one-third of trade on a value added basis, and much of this is concentrated in margin services (transport, logistics) linked to trade in goods. However, producer services are also part of the value added contained...
| Main Authors: | , , |
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2013
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2013/05/17655249/services-linkages-value-added-content-trade http://hdl.handle.net/10986/15574 |
| Summary: | Services trade constitute roughly
one-third of trade on a value added basis, and much of this
is concentrated in margin services (transport, logistics)
linked to trade in goods. However, producer services are
also part of the value added contained in traded goods. This
is especially true in high income countries, where services
account for roughly 70 percent of value added. Working with
data (a set of global social accounting matrices spanning
intermittent years from 1992 to 2007) this paper examines
the services embodied in trade on a value added basis. This
includes not only the direct and indirect contribution of
services to value added contained in a given country s
exports, but also the extent to which third-country value
added in services, through intermediate linkages of imported
goods and services, are also embodied in production and
trade. This exercise serves to highlight not only the
importance of non-tradables in trade, but also by extension
the importance that productivity, foreign affiliates sales,
and trade and investment in services may hold for
interdependence and cross-border linkages. |
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