The role of services in the economy: an input-output analysis for the new Member States and Austria

Client/Funding Institution

Anniversary Fund of the Oesterreichische Nationalbank

Abstract

Using input-output analysis, the study investigates the role of services in the Central European new EU Member States (NMS) Czech Republic, Hungary, Poland, Slovak Republic, and Slovenia and compares it to that in Austria. Investigation is done at the 2-digit level, comprising 26 service industries (NACE 50-99), for the years 1995, 2000 and 2004. The role of services includes not only their position in the production structure per se but also their increasing importance as intermediate inputs. The main questions investigated are: (i) Has there been a structural convergence process concerning the role of services between the NMS and Austria? What explains differences across individual NMS? (ii) Do services already have the same importance as a supplier of intermediate inputs in the NMS as in Austria? Are services still less intertwined with the rest of the economy? (iii) Is there still a lag in the development of knowledge-intensive business services in the NMS?

Duration

July 2008 - October 2010

wiiw team Leader

Doris Hanzl-Weiss

wiiw Staff

Robert Stehrer

Keywords: services

Countries covered: Austria, Czechia, Hungary, Poland, Slovakia, Slovenia

Research Areas: Sectoral studies


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