Determinants of International Trade Flows in Travel and Passenger Services
In the past decade, there has been a great increase in interest in trade in services. This paper estimates the determinants of trade flows for two service industries, travel and passenger transportation services, for sixteen OECD countries. Traditional and more recent models of import demand and demand for export functions are utilized. The empirical results indicate similarity between trade in goods and trade in services. Price competitiveness is an important factor in determining the trade flows in travel services and, like trade in manufactured goods, exchange rate variations have some influence on the volume of travel and passenger transportation services. Copyright 1993 by The Economic Society of Australia.
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Volume (Year): 69 (1993)
Issue (Month): 206 (September)
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