Perspectives of international trade in services

Abstract

The dynamic development of service activities in the world has led to their increasing contribution to the overall economic and social development. The service sector has become the driving force of economic development in most countries and the most dynamic component of international trade. The service sector participates with over 60% in the gross national income of the world economy. While the number of employees in industry and agriculture is rapidly declining, in most developed countries employment in services exceeds 80%. The shift towards services is attributed to the growth of living standards, increase of free time, change of lifestyle, development of technology. Technology development is one of the most important factors in the accelerated development of services. Thanks to the development of information technology and the reduction of communication costs, there has been a significant improvement in international trade in services. The crisis caused by COVID-19 caused huge losses in the export of services, but it pointed out the importance of technology and long-term technological changes in the service sector.

Keywords

• services
• service sector
• international trade
• technologies
• economic development