Enhancing U.S. Statistics on Trade in Services
Maria BorgaU.S. Bureau of Economic Analysis
September 14, 2010
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Collection Issues for Trade in Services
Developing data on trade in services can be challenging due to the lack of the kind of central collection point that exists for trade in goods
It is usually necessary to employ multiple methods of collection / estimation
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United States System
Largely survey-based Mandatory surveys authorized by International
Investment and Trade in Services Survey Act Governed by Paperwork Reduction Act Several surveys or survey groups
Financial services Transportation (several surveys) Insurance Miscellaneous services and intangible assets
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United States System (continued)
Some use of outside sources Travel
Education
Transportation (certain components)
Mirror (partner-country) data
A data source Travel with Mexico and Canada
Imports of computer services from Canada
A cross-check on our own survey results
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Recent Improvements
Realignment of classifications Manual on Statistics of International Trade in Services Revised edition will be available at
http://unstats.un.org/unsd/tradeserv/TFSITS/default.htm Improved measurement methodologies Integration of affiliated and unaffiliated transactions
Miscellaneous services and intangible assets in 2006
Financial services in 2007 Statistics on total trade available for more types of services
Improved reporting
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Recent Improvements (continued)
Sample frame improvements Added a screening question to identify importers to the Census
Bureau’s Company Organization Survey in 2006
Funded a significant expansion of the sample
458 firms were added to BEA’s mailing list for the quarterly survey of selected services for the third quarter of 2008
These new respondents reported $173 million in exports and $123 million in imports, or about 0.5 percent of the total exports and imports reported in that quarter
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Planned Improvements
Data sources for travel In first quarter of 2009, instituted a survey that collects data on
travel expenditures made using credit, debit, and charge cards
In addition, BEA conducted a survey of travelers that collected information on the proportion of their expenditures abroad made using various means
BEA is analyzing the initial results will use the data from these surveys to improve the statistics on travel
Improved measures of services trade in industry accounts The 2010 comprehensive revision of the Industry Accounts will
incorporate the new type-of-service detail available as of 2006
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Potential Improvements
Sample frame improvements Link between trade in services surveys and 2002 Economic
Census indicates that further data sharing could improve BEA’s statistics by identifying firms that export services but do not currently report on BEA’s surveys
Requires passage of the administration’s proposal on data sharing and synchronization
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Potential Improvements (continued)
New international standards Balance of Payments Manual 6th edition and revised
Manual on Statistics of International Trade in Services Improved measures of insurance, computer software, and
financial services
Expands coverage of trade in services to include manufacturing services provided by an entity, the processor, that does not take ownership of the physical inputs and that receives a fee from the owner of the inputs Considerable challenge for international data collection
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Potential Improvements (continued)
Changes to the surveys Coverage of additional types of services
Hampered by limited detail in company record-keeping systems Maybe possible to collect more detail for exports of services But more detail on imports would require a concerted effort to expand
detail collected from U.S. businesses on all purchases of services
Lower reporting thresholds Operating data
Collecting items such as employment Could yield important information on the characteristics of firms that
export services
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Conclusions
U.S. system to compile statistics on trade in services largely a survey-based system Mandatory and confidential surveys
Paperwork Reduction Act Recent improvements
Additional detail on affiliated trade in services
Sample frame improvements
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Conclusions
Planned improvements New data sources for travel
Incorporation of new detail in BEA’s Industry Accounts Potential improvements
Additional sample frame improvements focused on exporters
Meeting new international standards
Changes to the surveys Improvements could help support the President’s National
Export Initiative