The Role of Services Trade in Economic Development
No Thumbnail Available
Date
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
Description
This paper is an attempt to investigate the impact of services trade on economic development of
Sub-Sahara African (SSA) countries. Our analysis is based on a panel data framework over the
period 1990 to 2010 covering thirty-three countries. The paper employs the endogenous growth
model to examine the nonlinearities associated with services exports and services imports in the
economic development process of SSA countries under consideration. The trade data was
disaggregated into travel, transport and other services. The panel data constructed was estimated
using ordinary pooled, fixed effects and random effects model techniques and the efficient model
was selected based on the Hausman test. The paper finds that both services exports and services
imports enhance economic development process. The study also indicates that labour and capital
play an important role in the SSA economies.
Keywords
H Social Sciences (General)