The largest provider of international trade in services and consumers

The largest provider of international trade in services and consumers

In the period of the industrial revolution, a new form of international economic relations, namely, transnational investment or international investment, was driven by the competition for the international market and the promotion of comparative interests. Modern investment is divided into direct investment and indirect investment, direct investment to form the management and control of investment enterprises, and indirect investment only consider the investment remuneration, does not involve management and control. International indirect investment has become conspicuous with international trade in services is almost synchronized, and in the early days has become an important form of international economic and trade relations, international investment refers to direct investment. Early direct investment is the so-called reverse vertical investment, that is, manufacturing investment in mining or agriculture to protect the supply of raw materials. After that, countries with similar levels of industry find that each other’s products are more likely to be accepted by the market, so firms in developed capitalist countries begin a parallel investment, that is, investing in similar products in each other’s country.

Industrialized countries have an absolute advantage in international trade in services. According to statistics, industrialized countries in 1986 accounted for 78.6% of the world’s trade in services, of which transport, investment net income, tourism revenue accounted for more than 75% of the project. The world’s top 20 export service countries, the developed countries accounted for the vast majority. Industrialized countries are trade surplus countries. Considering the elements of service, the United States is the main exporter. However, in terms of service exports in terms of narrow sense, France, Britain and Italy were the most successful, while the United States was relatively second. Japan and Germany are the obvious exception, the two countries in the trade of goods on a substantial super, but in the service industry has a structural deficit. In the service sector, the two countries in the transport of goods has a strong competitive edge. However, the competition among industrialized countries in the international service market is also very intense. There is a contradiction between the EU countries and the United States to compete for the market share of the developing countries, and there are contradictions in their respective policies on international trade in services.

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