Business services outsourcing and economic growth: Evidence from a dynamic panel data approach

摘要: Innovations in information- and telecommunication technology render the proximity requirement between business partners obsolete make service outsourcing via cross-border trade more feasible. Although (service-led) growth prospects have been widely discussed, evidence at country level is scarce. In this paper, we evaluate effect of openness to commercial- specialized services on longrun by applying a dynamic panel data approach account for unobserved specific effects endogenous determinants. The system GMM estimates validate that long-run countries taking part process producer exists. significantly stronger sample Non-OECD suggests kind catching-up process. Evidence from two stage least square indicate impact professional regulation work rather indirectly through flows.