Dynamic linkages between tourism transportation expenditures,carbon dioxide emission,energy consumption and growth factors: evidence from the transition economies

Tourism transport profoundly affects economic growth, energy consumption and carbon dioxide emissions. This study is an attempt to examine the impact of international tourism transportation expenditures, energy demand, foreign direct investment inflows, trade openness and urban population on carbon dioxide emission and per capita income for the panel of 11 transition Economies, over the period of 1995–2013. The results show that per capita income escalates the carbon dioxide emission (CO₂), which deteriorates the natural environment. International tourism receipts and international tourism expenditures for travel items are associated with the intensifying CO₂ emission and per capita income in the region. The study confirmed the energy-led emissions, FDI-led emissions, FDI-led growth, income-led emissions, income-led energy demand, trade-led growth and trade-led energy demand. The causality results further substantiate the the tourism-led growth and FDI hypothesis in the region. Finally, the variance decomposition analysis confirmed the following results, that is, (i) per capita income is the contributor that least influences CO₂ emissions, (ii) urban population influences per capita income and (iii) international tourism transportation expenditures will influence CO₂ emissions and per capita income for the next 10-year period.     

A multi-level spatial-temporal model for freight movement: The case of manufactured goods flows on the U.S. highway networks

The spatial production, attraction, and movement of manufactured goods are vital to the economy of a region and country. The U.S. department of transportation also mandates to incorporate continuing and efficient freight movement and infrastructure into statewide and local long range planning. Studies on supply, demand, and transport of manufactured goods by firm, industry, mode, or commodity are vast in the logistics and supply chain literature. However, relatively sparse research is available on aggregated movement or freight on national, state, or local transportation networks. Better understanding and modeling freight movement on highway networks to facilitate local transportation, land use, economic development, and comprehensive planning is at the heart of freight research. Therefore, the major endeavors and novel contributions of this research include a conceptual framework proposed for freight movement research, a multi-level spatial-temporal freight model based upon the social optimum assignment for optimal “from”, “to”, “within”, and “through” freight flows of manufactured goods on the U.S. highway networks, and a set of performance measures designed to reveal states in terms of their competitive advantages in production, attraction, self-sufficiency, or cross-road. The freight flows were first visualized and highlighted by state at the U.S. level, then by county at the state level for Oklahoma, and finally by traffic analysis zone for the Tulsa metropolitan area. The spatial split of freight flows was accomplished through using freight, network, and demographic-economic databases at state, county, and zone scales.     

Hedging jet fuel price risk: The case of U.S. passenger airlines

Jet fuel accounts for a large portion of passenger airlines' operating costs, and airlines' earnings are susceptible to swings in the price of jet fuel. This study uses daily data over the past two decades to determine the minimum variance hedge ratio for airlines wishing to hedge jet fuel price risk with futures, while also establishing the best cross hedging asset. Airlines hedging with futures would create the most effective hedge by using heating oil futures contracts with a 3-month maturity. We also find that beyond the 3-month veil, increased time to maturity makes heating oil less effective as a cross hedge proxy for jet fuel. However, both in-sample analysis and Monte Carlo simulation results with daily data show that none of the 4 cross hedge proxies, including heating oil, can be considered highly effective.