This paper seeks to dispel some of the myths commonly harboured about service jobs, service trade and the contribution services make to productivity improvements and living standards. Services account for more than three-quarters of national output and for four out of every five jobs.

Service dominate economic activity in Australia. They account for more than three-quarters of national output and for four out of every fivejobs. Services also provide essential inputs into virtually every good and service produced in the economy. But despite its importance, the service sector...