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Perspective - Domestic Services: The Hidden Key to Growth - December 2005
Research Topic: Productivity and Competitiveness
After years of neglect and undue regulatory constraints, local service productivity in most emerging economies lags far behind productivity in sectors developed for export. This is a pity.

MGI research suggests that, given the right competitive environment, local services can be a powerful source of wealth creation and jobs for middle-income economies – more powerful than offshore services could ever be.

MGI debunks a number of myths associated with local services and offers three ways for governments to harness their power:

recalibrate regulations across the economy
make them less burdensome
enforce them fairly and firmly in every sector

Read the full perspective (PDF - 253 KB)
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