Tourism expansion, tourism uncertainty and economic growth: New evidence from Taiwan and Korea

This study examines the causal relationship between tourism expansion and economic growth in two Asian countries: Taiwan and South Korea. An EGARCH-M model with uncertainty factors is employed to examine the direction of causality between tourism expansion and economic growth, as well as the impulse impacts of uncertainty on both variables. The results indicate that the tourism-led economic growth hypothesis is supported for Taiwan while a reciprocal causal relationship is found for South Korea. The significant impacts of uncertainty on growth are also identified.     

Tourism employment during economic transition

This study examines labor mobility into tourism employment during economic transition. Working from the proposition that the industry serves as a refuge, it discusses the inward mobility patterns from other economic sectors, assesses the impact of the change, and measures the motivations for taking up such occupations. The study found that workers came from an unusually wide range of industries, which supports the idea of upheaval in the labor market. While there is little indication it is causing widespread personal suffering, evidence for the “refuge” role of tourism was found. Employment in this industry emerges as being attractive and accessible for people with various stock of human capital.     

Tourism and economic diversification in Hong Kong

Input-output techniques are used to assess the role of tourism in the economic diversification in Hong Kong. It is found that, in comparison with domestic manufacturing, the value-added content and labor productivity of tourism are relatively high, and tourism requires very little energy, not many laborers, moderate amounts of capital and appreciable amounts of skills, all of which are ideal in an environment of rocketing energy costs, rising wages, and fast growth with rapid accumulation of capital and skills. Moreover, the shares of tourism in GDP and total employment have been increasing due to decreasing leakage. On the demand side, the growth of tourist exports is more stable than many major commodity exports partly because tourism is less subject to import protectionism. Tourism is thus considered a prime choice in the current economic diversification of Hong Kong.     

Tourism, economic welfare and efficient pricing

A theoretical framework based on economics is provided for assessing tourism's costs and benefits. Suppose that resources utilized by tourists are owned by residents and, as marketed goods or services, are priced efficiently. Then increased tourism promotes net average (i.e., Pareto) economic gains for residents even in the face of such things as increased environmental costs and increased charges. Therefore, under these circumstances, there is no case for entry taxes or qualitative restrictions on tourism to deal with environmental issues. However, such taxes can be justified on rent-seeking grounds that are discussed in this paper.     

Tourism specialization,economic growth,human development and transition economies: The case of Poland

This study examines the relationship between tourism specialization economic growth, and human development in a transition economy. It proffers a conceptual link between tourism specialization and human development through a division of labor framework. Dynamic comparative advantage, Sen's capability approach, and the translog production function characterize the conceptual relationship. The Limited Information Maximum Likelihood (LIML) estimates this relationship's nature in the case of Poland. Tourism specialization has a short-term effect on economic growth and a negative and indirect link to human development. Economic growth seems the channel that supports human development expansion, indicating short- and long-term significant, positive effects. Human capital reveals a U- shape pattern in its relationship with economic growth and human development. The study's implications are two testable propositions and two policy options suggesting tourism specialization's potential impact on private and public incomes, which are relevant developmental channels in transition economies.     

Tourism productivity: Evidence from the United Kingdom

This paper examines the ways in which productivity in tourism businesses can be increased by studying the roles of changes in physical capital, human capital, innovation, and the competitive environment. Comprehensive results are obtained by using questionnaire-based interviews, business survey data analysis, and computable general equilibrium modeling. The results demonstrate the positive contribution that each of the productivity drivers can make to improving efficiency and welfare, notably increases in human capital and innovation. They also indicate that a combined strategy incorporating all of the drivers is more effective than independently formulated policies. Government organizations can collaborate to assist productivity increases, with specifically tailored measures for small businesses.     

Tourism and economic growth nexus revisited: A panel causality analysis for the case of the Mediterranean Region

Tourism is perceived as an important source of foreign exchange that is used for financing economic growth. This study offers a modern approach to tourism-led growth and investigates the causal relationship between tourism and economic growth in the European, Asian and African countries that border the Mediterranean Sea. The study uses panel data for the period 1998–2011, and adopts a panel Granger causality analysis developed by Dumitrescu and Hurlin (2012) to assess the contribution tourism makes to economic growth in each country. The results indicate that the direction of causality between tourism and economic growth depends on the country group and tourism indicator. Furthermore, the European countries are better able to generate growth from tourism in the Mediterranean region.     

Tourism: the measurement of economic and social impact

This paper identifies the need to consider the impact of tourism as an economic and social activity in any broad assessment of the impacts of tourism developments. A number of factors must be accounted for in measuring such impacts, which derive from the nature of the tourism activity, eg tourism is a dynamic agent of change, it is an amalgam of a number of industrial activities, it occurs within distinctive contexts etc. The question therefore centres on the methodology employed to measure the distribution of the costs and benefits of tourism.     

Tourism and economic development: Which investments produce gains for regions?

Across three decades numerous metropolitan regions have made substantial investments in different tourist amenity packages. These investments were made to either capture a portion of the growing tourism market or establish an image that attracted the human capital needed to advance economic development. This article analyzes the returns for the tourism industry and for economic development from different amenity packages and finds those related to sports and amusements generated the most significant gains for regions.     

The effects of scale in economic development: Tourism in Bali

Eric E. Rodenburg, The Effects of Scale in Economic Development: Tourism in Bali. Annals of Tourism Research 1980, VII(2):177–196. Planners promote tourism to meet the objectives of economic development. Different scales of enterprise, however, meet the objectives of planners in different ways. Data from Bali, Indonesia, illustrate the differential social and economic effects of three scales of tourism enterprise; large industrial, small industrial and craft tourism. A comparison of these segments of the continuum of tourism enterprises in Bali shows that the objectives of economic planners (increased earnings, foreign exchange, investment, job opportunities, production, entreprenuership, infrastructure, and the minimization of adverse social and cultural effects) are not best met through the promotion of large, industrially scaled enterprises.     

Tourism in Mauritius: an economic impact study with marketing implications

Tourism impact analysis is traditionally used to measure the volume of income, employment, public sector revenue and imports generated in a holiday area by tourist spending and to calculate the differential impacts made by visitors from various origins. This article on Mauritius shows how such analysis can provide useful marketing information to help maximize the economic impact of tourism in a small-island economy.     

Tourism,smart specialisation,growth, and resilience

This work analyses the implications of tourism dynamics and smart specialisation strategies on growth and socioeconomic resilience of European regions where tourism is a regional priority. By using a panel data model for 2006–2017, phases of growth, recession, and recovery are scrutinised. A convergence process is identified, with higher growth rates for less-developed regions; however, the most developed regions are more resilient. Tourism demand is positively correlated with growth and resilience but a high share of tourism within regional employment has negative impacts on both. Specialisation patterns combining tourism with agriculture have positive effects in both cases. Diversification strategies including unrelated sectors contribute to increased resilience in these regions, and a prioritisation of construction reduces regional resilience.     

Cost structure and productivity growth of the Taiwanese international tourist hotels

This study investigates the cost structure and economic implications of the Taiwanese international tourist hotel industry. A multi-product translog cost function with three inputs and three outputs is estimated using seemingly unrelated regression estimation and three-stage least squares. A balanced panel dataset consisting of 47 international tourist hotels in Taiwan over the period 1997–2001 was obtained from Taiwanese Tourism Bureau and used to estimate the cost function. The results show that both scale and scope economies exist in the Taiwanese international tourist hotel industry. In addition, productivity growth is positive over the study period. Managerial and policy implications for the Taiwanese international tourist hotel industry are also discussed.     

On the empirical relationship between tourism and economic growth

This paper studies the dynamics of economic growth and tourism evolution for 80 countries during the period 1995–2016. The variables representing economic and tourism growth are growth rates of per capita GDP and international tourist arrivals per inhabitant respectively. Using the concept of economic regime, the paper introduces a notion of distance between the dynamical paths of different countries. Then, a Minimal Spanning Tree and a Hierarchical Tree are constructed to detect groups of countries sharing similar performance. The two main clusters we find can be interpreted as two groups of countries with high and low performance in the tourism sector and are coherent with the business cycle. The evolution of such clusters shows three main stylized facts: certain countries move across clusters; the low performance cluster tends to span, while the high performance one tends to be (more) compact; the distance between the two groups increases in time.     

Educational tourism and its implications on economic growth in Malaysia

The effect of educational tourism on Malaysia’s economic growth is examined in this study by extending the Solow growth model. This study uses the sample from 2002:Q1 to 2014:Q4. The newly developed Bayer–Hanck combined tests for cointegration and the Granger causality test were employed to examine the long-run and causal relationships among the variables. The empirical findings suggest that economic growth, educational tourism, and other determinants are cointegrated. Educational tourism has a bi-directional causal relationship with economic growth in the short-run but there is a uni-directional Granger causality runs from educational tourism to economic growth. This study provides an essential insight for Malaysia to create policies that promote educational tourism, thereby encouraging economic growth in the long-run.     

Dynamic relationship between tourism,economic growth,and environmental quality

Abstract

In the recent era of globalisation, the tourism sector is growing rapidly and stimulates economic growth across the world, however, the inevitable environmental consequences of tourism cannot be ignored. For sustainable tourism, it is necessary to understand the interrelationship between economic growth, tourism, and environmental quality. Hence, the objective of the current research is to investigate the dynamic relationship between tourism, economic growth, and CO₂ emissions from 1995 to 2014 in the context of BRICS economies. A group of econometric tests robust to heterogeneity and cross-sectional dependence is applied to achieve accurate and unbiased results. Empirical findings propose that tourism sector significantly encourages economic growth; however, tourism degrades the quality of the environment. Also, globalisation has a long-term relationship with economic growth but an insignificant relationship with CO₂ emissions. The long-term elasticities further recommend that investment stimulate economic growth and mitigate CO₂ emissions. Moreover, environmental Kuznets curve (EKC) holds in BRICS countries in its significance to tourism and globalisation. Finally, a heterogeneous panel non-causality test detects bi-directional causality between tourism receipts and CO₂ emissions. Moreover, tourism and investment in tourism Granger cause each other. Empirical findings direct towards important policy implications.