Services value added in exports: a comparative analysis between Brazil and the United Kingdom from 2000 to 2014

Abstract

In the last few years, it is observed a rise in the service sector in countries and an increase in international services transactions has accompanied this expansion. Thus, the main objective of this work is to measure the services value added in exports from Brazil and the United Kingdom, from 2000 to 2014, and do a comparative analysis to identify the role of services systemically. The results indicate a clear difference among the countries analysed with regard to exports in the service sector, while for Brazil the sector can be considered as an intermediate input for exports from the non-service sectors; to the United Kingdom, as final exported product. Also, it is concluded that the service sector has been gaining space and importance for the Brazilian economy, indicating a latent potential of the sector in promoting the country's economic growth and, therefore, cannot be treated as a secondary player by public policies of development.