Service trade and occupational tasks: an empirical investigation

Andrea Ariu and Giordano Mion

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: Using micro data for Belgium we investigate the relationship between occupational tasks changes and the rise of service trade. We focus the analysis on the extensive margin and look at the heterogeneous proliferation of firms involved in exports and imports of services across sectors characterized by different tasks changes patterns. Occupational tasks changes display an extremely consistent relationship with participation to service trade across firm groups pointing to strong churning effects. The change in analytical (interactive and routine cognitive) tasks intensity has a positive (negative) impact across the board meaning that, in industries characterized by larger changes, firms have experienced both higher (lower) likelihood of entry and exit. The negative relationship between the change in interactive tasks and service exports participation underlines the special role that proximity between demand and supply plays for services. Interestingly, we find exactly the opposite result (a positive relationship) between the extensive margin of goods exports and interactive tasks. Moreover, our analysis suggests that the change in IT use per se does not strike as being a key underlying force behind the increase in the extensive margin of service exports.

Keywords: trade in services; extensive margin; occupational tasks; technological change (search for similar items in EconPapers)
JEL-codes: F14 F16 L80 O33 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2011-12-20
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http://eprints.lse.ac.uk/121742/ Open access version. (application/pdf)

Related works:
Journal Article: Service Trade and Occupational Tasks: An Empirical Investigation (2017)
Working Paper: Service Trade and Occupational Tasks: An Empirical Investigation (2012)
Working Paper: Service Trade and Occupational Tasks: An Empirical Investigation (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:121742

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