The tradable sector of a country’s economy is made up of the industry sectors whose output in terms of goods and services are traded internationally, or could be traded internationally given a plausible variation in relative prices. Most commonly, the tradable sector consists largely of sectors of the manufacturing industry, while the non-tradable sector consists of locally-rendered services, including health, education, retail and construction.
Tradable jobs can be performed by individuals outside a country: manufacturing, consulting, engineering, finance. Non-tradable jobs can realistically only be performed by domestic workforce: government, health care, hospitality, food service, education, retail, and construction.
In 1990, Australia’s sectoral outputs were 25.8% tradable and 74.2% non-tradable. Mining and manufacturing accounted for 18.3% and 61.4%, respectively, of the tradable sector.
- ^ Jump up to:ab “Feature Article – Australia’s Tradable Sector”. Australian Economic Indicators. 1990. Archived from the original on 2011-09-19. Retrieved 2011-09-19.
- ^Gross, Daniel (2011-05-17). “Nobel Laureate Spence: U.S. May Have to Live with Slow Employment Growth”. Yahoo! Finance. Archived from the original on 2011-09-18. Retrieved 2011-09-18.
Ofer Abarbanel is a 25 year securities lending broker and expert who has advised many Israeli regulators, among them the Israel Tax Authority, with respect to stock loans, repurchase agreements and credit derivatives. Founder of TBIL.co STATX Fund.