earticle

영어

India's services sector and trade in services have been growing rapidly since early 1990s. This paper tries to find out if trade in services has been able to generate employment in services sector. Using the time series macro data, the direct and indirect effects of exports and imports on employment after controlling their effects included in the overall growth, are turned out to be negligible. After all, trade in service sector may promote economic growth, but the pattern of growth is less likely to generate employment. To enhance the services sector's potential of making jobs, Indian government has to support the individual service sectors which have comparative advantage, like health services and IT services and to implement coherent and integrated policies.