# Services Sector Export in Europe
## 3 Methodology and Data  
We used data from the European Union (EUROPA--Countries/European Union) [35] to determine the countries that can be classified as European. This list includes 50 countries. The analysis of service exports of not only EU countries, but also of a wider range of European countries, allowed us, firstly, to increase the number of countries analyzed and therefore increase the reliability of the research and secondly, to identify the differences and tendencies in the export of services not only among the countries of the EU-15 and \"New Europe\"(EU-13), but also among the countries categorized as \"Economies in Transition\". The Eurostat database does not include data on the export of services and export of goods for all European countries. Therefore, we used data on the export of services and export of goods from the International Trade Centre UNCTAD/WTO [36] in this research. The International Trade Centre UNCTAD/WTO Database [36] does not provide data on the export of goods/services for some European countries, however it provides data on the export of services for some countries for only some years. For this reason, the selection of countries for analysis was performed based on the possibility to pick the maximum number of countries with available data covering a relatively long period. An analysis of the data on the export of services was conducted considering 38 European countries in the twelve-year period of 2005 up to and including 2016. As a result of selection based on the availability of service export data, one of the EU-15 countries--the Netherlands--was not included in the sample and neither were two of the thirteen countries of \"New Europe\": Bulgaria and Cyprus. Correspondingly, the research presents data on 25 of the 28 EU member states, which represents 89.3 percent of the EU countries. The analysis includes data on three non-EU countries that are classified as \"Other European Countries\"--Iceland, Norway, and Switzerland--which, in accordance with the United Nations Country Classification [37], belong to the category \"Developed Economies\". The remaining ten countries analyzed in the research are classified as \"Other European Countries\" and, in accordance with the United Nations Country Classification [37], belong to the category \"Economies in Transition\". Some European non-EU countries were not considered in the analysis due to the lack of data on their service exports, such as Andorra, Liechtenstein, Monaco, San Marino, Vatican, Kosovo, Macedonia, Serbia, and Montenegro. The indicators for service and goods export growth were calculated in the following way: the indicator for the year 2005 was deducted from the indicator for the year 2016 and the result was divided by the indicator for the year 2005. The aggregate share of service exports was calculated as a proportion of the aggregate service exports in the total exports of European countries. The average annual growth in service exports, goods exports and aggregate exports was calculated as a geometric mean. To identify the relationship of growth in GDP and GDP per capita rates on service export growth we conducted a correlation analysis. To identify a linear relationship between GDP growth and growth in service exports, as well as GDP per capita growth and growth in service exports, a regression analysis was conducted. Comparing the rates of service export growth in European countries with different GDP per capita indicators, the GDP per capita index for 2016 was used. In order to determine the growth trends of service exports from various European countries, the countries examined in the study were divided into four quartiles. The grouping of countries by quartile was carried out based on the ranking of all countries by absolute indicators for service export growth rate from 2005 to 2016 following the principle \"from small to big\", that is, the countries with lower absolute indicators for service export growth rate were grouped into the first quartile.