Abstract
It appears to be implicit in most research about the service sector that services are only produced in the private sector. This brief note submits that to calculate service output for the whole economy, the services produced in the public sector by national, regional and local governments must of necessity be included. This enhanced calculation demonstrates that service-producing industries are a much larger proportion of total economic activity than has been realised, and may, in the US for example, constitute around 80 per cent of total employment.
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