THE TRADABILITY OF SERVICES: GEOGRAPHIC CONCENTRATION AND TRADE COSTS

Antoine Gervais and J. Jensen ()

Working Papers from U.S. Census Bureau, Center for Economic Studies

Abstract: We develop a methodology for estimating the “tradability” of goods and services using data on U.S. establishments. Our results show that the average service industry is less tradable than the average manufacturing industry. However, there is considerable within-sector variation in estimated tradability and many service industries are as tradable as manufacturing. Tradable service industries account for a significant share of economic activity and workers employed in those industries have relatively high average wages. Counterfactual analysis indicates that the potential welfare gains from policy liberalization in service trade are of the same order of magnitude as liberalization in the manufacturing sector.

Keywords: Service sector; international trade; imperfect competition; microdata; trade liberalization. (search for similar items in EconPapers)
JEL-codes: F1 (search for similar items in EconPapers)
Pages: 43 pages
Date: 2014-03
New Economics Papers: this item is included in nep-geo and nep-int
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
https://www2.census.gov/ces/wp/2014/CES-WP-14-03.pdf First version, 2013 (application/pdf)

Related works:
Journal Article: The tradability of services: Geographic concentration and trade costs (2019)
Working Paper: The Tradability of Services: Geographic Concentration and Trade Costs (2015)
Working Paper: The Tradability of Services: Geographic Concentration and Trade Costs (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:cen:wpaper:14-03

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