International Comparisons of the Service Industry— What Can China Learn from Other Countries?

Abstract

Abstract. This paper focuses on analyses of the service industry in different countries over the years. Through this comprehensive study and international comparisons, developing countries like China can learn from others and better develop its service industry. When an economy advances, its service industry will be increasingly important in terms of shares of GDPs and employment. But fast-shrinking of the manufacturing industry and rapid expansion of the service industry may cause serious problems such as being weightless, lowering productivity and suffering from the mid-income trap. To sustain its economic growth, China needs to better expand and develop its service industry, particularly improve and develop social, professional and manufacturing/production services and improve and increase its service export.