(I) Private Classification
Due to the diversity and complexity of international trade in services, a unified classification standard has yet to be formed. Many economists and international economic organizations divide international trade in services from their own chosen perspectives for the sake of analytical convenience and research needs, and the representative and influential classifications are briefly reviewed below.
1. to "move" as the standard
R- M-period of Tern in 1987 in the book "international trade" in the international trade in services whether the service is moving between the provider and the user is divided into four categories:
(l) separation of services. It refers to the service provider and the user of services between countries do not need to move to realize the service. Transportation services are typical examples of separated services. For example, in the case of civil air transportation services, an airline can provide services to residents of another country, but it is not necessary to move the airline abroad, nor is it necessary to require customers to go to the country where the airline is located to receive services.
(2) the location of the person in need of services. It refers to the service generated by the transfer of the provider of the service, generally requires that the provider of the service needs to be geographically adjacent and close to the service user. Banking, financial and insurance services are typical representatives of such services. For example, in order for a British bank to capture the Japanese market share in micro-banking, it must open a branch in Japan, which requires that there be a movement of capital and labor between countries, as well as a form of investment.
(3) Service at the location of the provider. It refers to services provided by the provider of the service within the country for foreign residents and legal persons, and generally requires that the consumer of the service receive the service across national borders. International tourism, education and medical care belong to this category of trade in services. For example, foreign tourists visiting the Great Wall of China, Guilin, etc. receive Chinese travel services. At this point, the service provider does not export services across national borders to the service consumer, and there is no movement of factors of production for the service provider.
(4) Mobile services. It refers to the mutual movement of services received and provided by consumers and producers of services, where the service provider makes outward foreign direct investment and utilizes branches to provide services to residents or enterprises in third countries. An American travel company based in Italy, as described above, provides services in Italy to German tourists. Mobile services require varying degrees of movement of factors of production, such as capital and labor, by consumers and providers of services.
This classification takes "mobility" as the core of the classification of international trade in services, which essentially involves the movement of factors of production, such as capital and labor, between different countries. Since such cross-border movement of factors of production often involves restrictions in the domestic or regional legislation of each country, as well as the right to practise in the country of the demander, it is more appropriate to use this classification for the study of this type of problem. However, this classification of services has the disadvantage of making it difficult to accurately and thoroughly classify trade in services, such as the above mentioned tourism services provided by mutual business between countries.
2. Industry as a criterion.
In view of the characteristics of the various sectors of the national economy, some economists centered on the activities of the various sectors of the service industry, the trade in services is divided into seven categories:
(1) banking and financial services. Banking and financial services is a more important sector of trade in services, the scope of which includes: a. Sporadic banking services, such as savings, loans, bank consulting services, etc.. b. Corporate financial services, such as financial management, finance, accounting, auditing, additional capital and investment management, etc.. c. Insurance-related financial services. d. Inter-banking services such as money market transactions, clearing and settlement services, etc.. e. International Financial services, such as foreign exchange trade, etc.
After the Second World War, especially since the 1980s, with the internationalization of financial services, there have been significant changes in the trade in financial services. The further development of the securities market, the increase of financial intermediaries outside the banking system, the gradual deregulation of international financial markets, the expansion of the scope of business of financial institutions, the power is getting bigger and bigger, the wide application of information technology in financial activities, foreign exchange control is also gradually relaxed, all of which have greatly promoted the trade in services in the financial industry.
(2) insurance services. Insurance services its function is to provide insurance policy holders with a specific period of time for the prevention of specific risks and their related services. Such as risk analysis, damage prediction advice and investment procedures. Trade in insurance services includes both non-identified insurers and international exchanges of permanent insurance companies. Currently, trade in insurance services is mainly reflected in the business of permanent insurers.
(3) International tourism and travel services. Trade in travel services provides travel services for domestic and foreign travelers, and international trade in travel services mainly refers to the provision of travel services for foreign travelers. Tourism trade includes the tourism activities of individuals as well as those of tourism enterprises. Its scope involves travel agencies and a variety of tourist facilities and passenger transportation, catering supply, food, etc. It has direct links with services such as construction contracting, insurance and data processing, and it is extremely closely linked to international air transport. It has a large proportion in international trade in services.
(4) Air and port transportation services. Air and port transportation services is an old service trade items, general goods by liner, container freighter, fixed-route or regular chartered ship transportation, special goods by air, mail order, land transport. Port services are inextricably linked to air transportation services, which include port cargo handling and handling services.
(5) Architectural and engineering services. This category includes services in the process of basic research, construction, maintenance and operation of engineering projects. It also involves the production and servicing of infrastructure and instrumentation including agricultural engineering and mining engineering, professional consulting services and services related to labor mobility. Trade in these types of services is generally subject to restrictions on the right to practise within countries and is closely related to fluctuations caused by economic fluctuations, policies and industrial policies of countries, investment planning, and so on. The government sector is a major employer of these services, which generally involve government infrastructure and public sector investment projects.
(6) Professional (occupational) services. This type of services mainly include lawyers, doctors, accountants, artists and other freelance practitioners to provide services, as well as professional and technical services in the engineering, consulting and advertising industries, the international trade in professional (occupational) services at a higher level, at different levels of trading at different levels. At present, there are mainly the following levels: a. professional services undertaken by individuals; b. professional services undertaken by international professional services enterprises; C. professional services operated as part of an international multilateral group; d. professional services of developed countries employing enterprises from developing countries to undertake engineering projects.
Professional services take a variety of forms, either through direct face-to-face provider-consumer exchanges, or through indirect distribution channels such as telecommunications, or they are made available to consumers through institutions, unions or permanent representatives abroad. Professional services are developing more rapidly.
(7) Information, computer and communication services. This type of service involves three main modalities:
a. Computer information services. Such as data collection services, the establishment of databases and data interface services, and through the data interface in the telecommunications network for the transmission of data and information. b. Computer services. Such as data processing services, service providers to use their own computer equipment to meet the user's data processing requirements, and to provide service consumers with general-purpose software packages and specialized software, etc. c. Telecommunications services. Including basic telecommunication services, such as telegraph, telephone, telex, etc., as well as intelligent telecommunication services provided by the integrated business data network. The quality and level of telecommunication services are influenced by the telecommunication infrastructure. Developed countries have an absolute advantage in this type of service.
The above categorization is centered on "industry", which essentially involves the scope of exported services and the depth and breadth of business on both the supply and demand sides. The benefits and scope of the overseas activities of the factors of production of each country are reflected in the various services exported by each country, so the wider the scope of the services provided and the more detailed the division of labor in the services, the greater the benefits on the supply side. Analyzed from this perspective, it is more appropriate to use this type of classification. This is similar to the classification of the Uruguay Round Services Trade Negotiating Group of the General Agreement on Tariffs and Trade (GATT).
3. Production process as a criterion
(l) Pre-production services. This method of classification allows trade in services to be categorized into pre-production services, production services and post-production services, based on the intrinsic link between services and the production process.
Pre-production services are mainly related to market research and feasibility studies. These services are completed before the start of the production process and have a significant impact on both the scale of production and the manufacturing process.
(2) production services. Production services mainly refers to the production of products or manufacturing process for the smooth running of the production process to provide services, such as internal quality management, software development, human resource management, various services between the production process.
(3) post-production services. This kind of service is to link the producer and consumer services, such as advertising, marketing services, packaging and transportation services. Through this kind of service, the enterprise is in contact with the market, and it is easy to study whether the product is marketable, whether the design needs to be improved, and whether the packaging meets the needs of the consumers and so on.
The essence of this international trade in services, with "production" as its core division, involves the application of high technology to improve productivity and provides an important basis for the coordination of pre-production and post-production services for the producers of products. This enables producers to respond quickly to changes in the international market in order to improve production processes, develop new designs or introduce new services, and ultimately produce products or services that satisfy consumers. Therefore, this classification, which is centered on improving productivity, is of some significance.
4. To factor intensity as the standard
Following the characteristics of merchandise trade in the intensive use of certain factors of production, some economists in accordance with the trade in services on capital, technology, labor input requirements of the degree of intensity, the trade in services is divided into:
(l) capital-intensive services. Such services include air transportation, communications, engineering and construction services.
(2) technology- and knowledge-intensive services. Such services include banking and finance, legal, accounting, auditing and information services.
(3) Labor-intensive services. Such services include tourism, construction, maintenance, consumer services, etc.
This classification centers on the intensity of factors of production and involves the development and application of factors of production, especially contemporary high technology, in the competition of products or services. Developed countries have strong capital, high level of science and technology, research and development capabilities, they are mainly engaged in capital-intensive and technology- and knowledge-intensive services trade, such as finance, banking, insurance, information, engineering and construction, technical consulting and so on. These services have high value added and large output. On the contrary, developing countries, which are short of capital, poor in technological development and low in technology, can only engage in labor-intensive services trade, such as tourism, plantation, construction and labor export. Such services have low value added and small output. Therefore, this method of classifying trade in services has some value in terms of the full and rational use of factors of production and the analysis of countries' competitiveness centered on factors of production. However, the development of modern science and technology and capital factors more closely, the classification of the intensity of factors in goods and services is not very strict, and it is difficult to distinguish accurately, not to mention the development of a classification standard.
5. Commodity-based standards
During the Uruguay Round of GATT negotiations on trade in services, the negotiating group in June 1988 proposed a classification of trade in services based on the attributes of services in commodities, according to which trade in services is categorized into:
(1) services in the form of commodities. This type of services in the form of goods or physical form, such as: movies, television, audio, books, computers and specialized data processing and transmission devices.
(2) services complementary to the physical goods. This type of service to the realization of the value of goods with complementary, auxiliary function, for example: commodity storage and transportation, financial management, advertising and publicity.
(3) on the physical form of goods has the function of alternative services. This kind of service accompanied by the movement of tangible goods, but is not the general merchandise trade, unlike commodity trade to realize the transfer of ownership of goods, only to provide services to service consumers. For example, technology trade in franchising, equipment and financial leasing and maintenance of equipment.
(4) has the attributes of goods but not related to other goods services. This type of service has commodity attributes, and its sales do not need to be supplemented by other goods in order to realize, such as communications, data processing, tourism, hotel and restaurant services.
This classification analyzes services in relation to commodities and, in fact, theoretically recognizes that "services", like "commodities", have both use value and value. Like commodities, they can contribute to the progress of social productivity. The particularity of services lies in its "intangibility" which is different from that of commodities, but this "intangibility" can also be manifested in the form of commodities in a certain form.
6. According to whether or not accompanied by tangible merchandise trade as a criterion
(l) international additional services. Internationally added services refers to the services are accompanied by the export of goods entity trade. For consumers, the commodity entity itself is the core utility of their purchase and consumption, and the service provides or satisfies some additional utility. In the context of the deepening and penetrating impact of the scientific and technological revolution on the world economy, the impact of such additional services on consumer consumption behavior, particularly the choice of the desired core utility, is far-reaching. Because, after the second world war, the competition in the international market is no longer between the price of goods as the main means of competition, the market competition is mainly to the quality of the product, high-quality technical services, good after-sales service and a variety of marketing strategies to win. The consumer's consumption satisfaction is not only limited to the consumption of goods in physical form may bring him the utility. Consumers pay more attention to the function of the product, technical services, the process of commodity consumption or consumption after the sense of honor, sense of achievement, the satisfaction of spiritual needs.
At the same time, the impact of science and technology on production also makes the connotation of "factors of production" is not only limited to capital, labor, land and so on. After the scope of factors of production has been expanded, various kinds of additional services, such as knowledge-intensive services, information-intensive services, research and development services, have attracted great attention and have been widely used in all stages of the production of tangible goods. For example, before the production of tangible goods begins, it is required to have prior inputs of additional services, including feasibility studies, risk capital mobilization, market research, product design and so on. In the process of product production, additional services are required to be integrated with the product production process. Such as quality control and inspection, equipment leasing, late supply of raw materials, equipment maintenance and so on. And requires additional service inputs parallel to the production process at the same time, such as financial accounting, personnel management and training, information and library materials and other software collection, organization and application, real estate management, legal, insurance, communications, health, safety and security and employee logistics services, public **** services. After the production of products to meet with consumers in the link, but also need the corresponding additional services investors, such as advertising, transportation, commodity guide, after-sales service.
Some additional services are difficult to detach from a particular stage of production, only with a certain proportion of the factors of production, completely attached to the tangible commodity value entity, can not form an independent exchange object. There are also additional services that are related to the trade of tangible goods, but can be independent of certain tangible goods and become independent objects of exchange. However, the various types of additional services are generally interdependent and combined into an integrated network of services. With the development of the servicification of the economy, the additional services provided by producers are increasingly becoming an important factor in their non-price competition.
In additional services, the relatively more important are international traffic, transportation and international postal and telecommunication communications. They are an important factor in the social division of labor among countries, improving industrial layout and industrial restructuring, overcoming static comparative disadvantages, and promoting economic development. In particular, the continuous adoption of modern science and technology has led to great changes in transportation and postal and telecommunication communications, shortening the time and space distance of economic activities, eliminating many obstacles and playing an increasingly important role in the growth of the global economy. It has also become an important element of international trade in services.
(2) International core services. International core services refers to the production of tangible goods and trade has nothing to do, it is as a consumer alone purchased, can provide consumers with the core utility of a service.
International core services according to the distance between consumers and service providers can be divided into:
a. Face-to-face type international core services. Refers to the service provider and the consumer both physical contact in order to realize the service. The actual contact mode can be the supplier flow to the consumer, can be the consumer flow to the supplier, or the two-way flow of the supplier and the consumer. Face-to-face international core services are accompanied by cross-border movements of people and capital in the factors of production. For example, there is a cross-border movement of capital in the output of the financial sector. International financial conglomerates in many developed countries, such as Citibank in the United States, have set up branches all over the world through the movement of suppliers in contact with consumers of services, and have extended their business scope to all corners of international economic life by virtue of the technology of electronic and information technology. International tourism service, on the other hand, is a face-to-face core service mainly accompanied by the movement of human capital across borders. Over the past decade, total exports of international tourism services have grown relatively fast. This is largely dependent on the international tourism services network established on the basis of science and technology.
b. Distant international core services. It does not require the actual contact between the service provider and the consumer, generally need to be realized through a certain carrier cross-border services. For example, international audio-visual services, including international news reporting, international issue activities and facsimile services, are delivered through communication satellites as carriers.
International financial services in the long-distance international core services in the international capital movement accelerated by the promotion, coupled with the western developed countries widely will be the computer, remote control telecommunication technology, etc. applied to the banking industry. A financial services system marked by computerized data processing, electronic information transfer and electronic funds transfer system has been formed. The popularization of automatic teller machines, the use of computer transfers or credit cards instead of checks in previous years have accelerated the speed of international capital movements. Thus for the development of long-distance international financial services to create good conditions, international financial services in the international trade in services accounted for a gradually increasing proportion.
(ii) WTO Classification
The Uruguay Round Negotiating Group on Trade in Services (NGTS) accelerated the process of negotiations on trade in services after the Uruguay Round Mid-Term Review Conference and, on the basis of classification of merchandise-centered trade in services, combined with the requirements of statistics on trade in services and liberalization of the trade in services sector. On the basis of proposals and comments from the negotiating parties, a sector-centered classification of trade in services has been proposed, dividing trade in services into 12 broad categories. They are as follows:
1. Commercial services
Refers to the exchange of services involved in commercial activities, and the Negotiating Group on Trade in Services lists six categories of such services, which include both services consumed by individuals and services consumed by businesses and governments.
(l) Professional (including consulting) services. The scope of professional services involves legal services; engineering design services; services provided by tourism organizations; urban planning and environmental protection services; public **** relations services, etc.; professional services include related consulting services activities involving the above service items; installation and assembly engineering services (excluding architectural engineering services), such as the installation and assembly services of equipment; maintenance services of equipment, referring to the maintenance of all equipment, except for fixed buildings maintenance services of all equipment, such as regular maintenance of complete sets of equipment, overhaul of locomotives, maintenance of transportation equipment such as automobiles, etc.
(2) Computer and related services. Such services include consulting services for the installation of computer hardware, software development and implementation services, data processing services, database services and others.
(3) Research and development services. Such services include research and development services in natural sciences, social sciences and anthropology, and research and development services under the end of discipline.
(4) Real estate services. Refers to the exchange of services within the scope of real estate, but does not include leasing services of land.
(5) Equipment leasing services. This mainly includes leasing services for transportation equipment, such as automobiles, trucks, airplanes, ships, etc., and non-transportation equipment, such as computers and recreational equipment. However, it does not include services for the hiring of operators or training of required personnel that may be involved.
(6) Other services. Means biotechnology services; translation services; exhibition management services; advertising services; market research and public opinion polling services; management consulting services; human-related consulting services; technical testing and analytical services; services related to agriculture, forestry, animal husbandry, extractive industries, and manufacturing industries; services related to energy distribution; placement and provision of services for personnel; investigative and security services; services related to science and technology; building Cleaning services; Photographic services; Packaging services; Printing and publishing services; Conference services; Other services; and so on.
2. Communication Services
Communication services mainly refer to all services related to information products, operations, storage equipment and software functions. Communication services by the public **** communication sector, information services, close relations between business groups and private enterprises for information transfer and service provision. They include: postal and telegraphic services; courier services; and telecommunication services, including telephone, telegraph, data transmission, telex, and facsimile. Audiovisual services, including radio and television broadcasting services. Other telecommunication services.
3. Construction services
Construction services mainly refers to the entire service process of engineering and construction from design, site selection to construction. Specifically include: site selection services, involving the location of the building; domestic engineering and construction projects, such as bridges, ports, highways and other address selection, etc.; building installation and assembly works; construction of engineering projects construction; fixed building maintenance services; other services.
4. Sales services
refers to the exchange of services in the process of product sales. It mainly includes: commercial sales, mainly referring to the wholesale business; retail services; agency fees and commissions related to sales, etc.; franchise services; and other sales services.
5. Educational services
refers to the exchange of services between countries in higher education, secondary education, primary education, pre-school education, continuing education, special education and other education. For example, sending foreign students and visiting scholars to each other.
6. Environmental services
refers to sewage treatment services; waste treatment services; sanitation and similar services, etc.
7. Financial services
Mainly refers to banking and insurance and related financial service activities. Including: ① banking and related services; bank deposit services; services related to the operation and management of financial markets; loan services; other loan services; services related to the bond market, mainly related to brokerage, stock issuance and registration management, securities management, etc.; attached to the financial intermediation of other services, including loan brokering, financial consulting, foreign exchange services, etc.. ② insurance services; cargo transportation insurance, including maritime, air transportation and land transportation in the transportation of goods insurance, etc.; non-cargo transportation insurance. Specifically including life insurance, pension or annuity insurance, disability and medical expense insurance, property insurance services, debt insurance services; services attached to insurance. Examples include insurance brokerage, insurance category counseling, insurance statistics and data services; and reinsurance services.
8. Health and Social Services
Mainly refers to medical services, other services related to human health; social services, etc.
9. Tourism and related services
refers to accommodation, catering services, food services and related services provided by hotels and restaurants; travel agencies and tour guide services.
10. Cultural, Recreational and Sports Services
refers to all cultural, recreational, news, library and sports services, excluding radio, movie and television, such as cultural exchanges and cultural performances.
11. Transportation services
Mainly includes: cargo transportation services, such as air transportation, ocean transportation, railroad transportation, pipeline transportation, inland and coastal transportation, road transportation services, but also includes space launches as well as transportation services, such as satellite launches, etc.; passenger transportation services; ship services (including crew employment); and services ancillary to transportation. This mainly refers to customs brokers, cargo handling, warehousing, port services, and pre-sailing inspection services.
12. Other services
(3) IMF classification
The International Monetary Fund classifies trade in services according to balance of payments statistics into:
1. Civilian services (or commercial services)
Refers to freight transport in the Balance of Payments Manual compiled by the International Monetary Fund in 1977; other transportation, passenger transport, port services, etc.; tourism; other private services and receipts; and further classified as follows: ① Freight transportation: freight, cargo insurance premiums, and other charges; ② Passenger transportation: passenger freight and related charges; ③ Port services; goods and services expended by shipping companies and their employees at ports, and chartering fees; ④ Tourism: expenditure on goods and services (excluding freight) by tourists who stay outside the country for less than a year; ⑤ Receipts from labor: Wages and salaries of residents of the country; ⑤ Ownership receipts: proceeds from copyrights and licenses; ① Other civic services: communications, advertising non-goods insurance, brokers, management, leasing, publishing, repairs, business, vocational and technical services.
Generally we refer to labor receipts, ownership gains, and other civic services collectively as other civic services and earnings.
2. Investment income
refers to the receipts and expenditures arising from interest, dividends, and remittance or repatriation of profits resulting from the lending, borrowing, or investing of capital between countries.
3. Other government services and revenues
refers to government-related services and revenues not included in the above
4. Non-repayable transfers
refers to payments and receipts that are unilateral (or one-sided) and non-reciprocal, i.e., implying that the funds are moved internationally without the question of return or repayment arising therefrom. Thus, also known as unilateral transfers. They generally refer to unilateral remittances, annuities, gifts, etc. According to the different recipients of unilateral transfers, they are subdivided into two categories: private transfers and government transfers. Government transfers mainly refer to the inter-governmental non-reimbursable economic, technical or military assistance, war reparations, voluntary forgiveness of foreign debt, the government's contribution to the administrative costs of international institutions and gifts and other receipts and expenditures.
Private transfers mainly refer to the following categories:
Remittances: including remittances from expatriates, remittances of a charitable nature, and property inheritance payments. It mainly refers to remittances from expatriates, such as remittances sent back to the home country by expatriates of a country permanently residing in a foreign country; remittances from the home country by expatriates of a foreign country residing in the home country; and so on.
Annuity: refers to pensions, bonuses, etc. obtained from or paid to foreign countries.
Gifts: refers to gifts to foreign countries from churches, educational foundations, and charitable organizations, as well as governmental non-reimbursable aid, etc.
In summary, regardless of the definition and classification of international trade in services from whatever point of view, international trade in services exists in the cross-border movement of people, capital, information in different forms, or in a certain form in the cross-border movement of goods.