Original Research

Travel service exports as comparative advantage in South Africa

Johan Fourie
South African Journal of Economic and Management Sciences | Vol 14, No 2 | a146 | DOI: https://doi.org/10.4102/sajems.v14i2.146 | © 2011 Johan Fourie | This work is licensed under CC Attribution 4.0
Submitted: 08 December 2010 | Published: 06 June 2011

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Abstract

World service exports have grown at a rapid rate over the past few decades. While some countries have benefited from the surge in service exports, others have been left behind. This paper provides a snapshot of South Africa’s comparative performance in service exports, using a new measure of revealed comparative advantage, the normalised revealed comparative advantage (NRCA). Countries are ranked according to their performance in 10 service export sectors. South Africa is found to reveal a strong comparative advantage in travel service exports (tourism). A discussion of the travel services sector follows, with historical, theoretical and empirical evidence to support the NRCA findings.


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