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Trade in Services in the Asia-Pacific Region$
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Takatoshi Ito and Anne O. Krueger

Print publication date: 2003

Print ISBN-13: 9780226386775

Published to Chicago Scholarship Online: February 2013

DOI: 10.7208/chicago/9780226386782.001.0001

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Liberalization of Trade in Services and Productivity Growth in Korea

Liberalization of Trade in Services and Productivity Growth in Korea

(p.179) 6 Liberalization of Trade in Services and Productivity Growth in Korea
Trade in Services in the Asia-Pacific Region

Jong-Il Kim

June-Dong Kim

University of Chicago Press

This chapter investigates the changes in productivity growth rates of Korean service and manufacturing subsectors in relation to the liberalization of trade in services. It describes the case of the distribution services sector which was liberalized in the 1990s and provides a tabulation of the trends of labor and total factor productivity that shows changes in productivity in the service and manufacturing subsectors. The findings reveal that the relation between trade liberalization and productivity increase in the service subsector is weak, partly because full effects of the liberalization have not yet materialized.

Keywords:   productivity growth, services industry, manufacturing subsectors, trade liberalization, Korea, distribution services, labor productivity, total factor productivity

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