IDEAS home Printed from https://ideas.repec.org/a/agr/journl/v3(544)y2010i3(544)p63-74.html
   My bibliography  Save this article

Does Trade Help to Explain Tourism Demand? The Case of Portugal

Author

Listed:
  • Nuno Carlos LEITÃO

    (Polytechnic Institute of Santarém, ESGTS, Portugal)

Abstract

The tourism industry has expanded in recent years due to internal and external environmental forces. These forces, income, trade, consumer price, and geographical distance are interconnected. Accounting for imperfect competition and increasing returns to scale, the new trade theory offers the explanation of dynamic gains from international trade. A large number of studies attempt to test the hypothesis that there is a link between trade and tourism. Most of the studies show that trade and tourism are positively correlated. This paper specifies static and dynamic panel demand models for tourism in Portugal and estimates demand equations using tourist inflow data for the period 1995-2006. We find that bilateral trade, immigration, border, and geographical distance between Portugal and countries of origin are the main determinants of tourism to Portugal. The dynamic panel data approach indicates that trade, population, and income are more important determinants than relative price.

Suggested Citation

  • Nuno Carlos LEITÃO, 2010. "Does Trade Help to Explain Tourism Demand? The Case of Portugal," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 3(3(544)), pages 63-74, March.
    • Handle: RePEc:agr:journl:v:3(544):y:2010:i:3(544):p:63-74
    as

    Download full text from publisher

    File URL: http://store.ectap.ro/articole/451.pdf
    Download Restriction: no
    File URL: http://www.ectap.ro/articol.php?id=451&rid=59
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Eugenia LUCAŞENCO & Constantin-Marius APOSTOAIE & Alexandru MAXIM, 2017. "The emergence of environmental factors as catalysts for tourism demand: a case study on Romania," CES Working Papers, Centre for European Studies, Alexandru Ioan Cuza University, vol. 9(4), pages 597-612, December.
    2. Georges Harb & Charbel Bassil, 2020. "Terrorism and inbound tourism: Does immigration have a moderating effect?," Tourism Economics, , vol. 26(3), pages 500-518, May.
    3. Jean Max Tavares & Nuno Carlos Leitão, 2017. "The determinants of international tourism demand for Brazil," Tourism Economics, , vol. 23(4), pages 834-845, June.
    4. Odhiambo, Nicholas M & Saungweme, Talknice, 2021. "Does international tourism spur international trade in SSA countries? A dynamic panel data analysis," Working Papers 28345, University of South Africa, Department of Economics.
    5. Nuno, Carlos Leitão & Muhammad, Shahbaz, 2011. "Migration and Tourist Flows," MPRA Paper 34905, University Library of Munich, Germany, revised 12 Nov 2011.
    6. Zdravko Šergo & Amorino Poropat & Pavlo Ružić, 2014. "The determinants of length of stay and arrivals of tourists in the Croatia: a panel data approach," Tourism and Hospitality Industry section8-4, University of Rijeka, Faculty of Tourism and Hospitality Management.
    7. Camelia Surugiu & Marius-Razvan Surugiu, 2011. "Causality Between Tourism Exports And Trade Openness: Empirical Analysis For Romanian Tourism," Revista Tinerilor Economisti (The Young Economists Journal), University of Craiova, Faculty of Economics and Business Administration, vol. 1(17), pages 100-109, November.
    8. Konstantakopoulou, Ioanna, 2022. "Does health quality affect tourism? Evidence from system GMM estimates," Economic Analysis and Policy, Elsevier, vol. 73(C), pages 425-440.
    9. Tafazal Kumail & Wajahat Ali & Farah Sadiq & Syed Mudasser Abbas, 2023. "A step toward tourism development: do economic growth, energy consumption and carbon emissions matter? Evidence from Pakistan," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(5), pages 3985-4005, May.
    10. Georges Harb, 2019. "The impact of terrorism on inbound tourism: disentangling the cross-spatial correlation," Economics Bulletin, AccessEcon, vol. 39(1), pages 686-700.
    11. Nuno Carlos Leit o, 2015. "Portuguese Tourism Demand: A Dynamic Panel Data Analysis," International Journal of Economics and Financial Issues, Econjournals, vol. 5(3), pages 673-677.
    12. khanalizadeh, bahman & kakaei, hamid & daneshzad, ali, 2018. "The Effects of Hotel Development on Tourism industry: Evidence Iran," MPRA Paper 88837, University Library of Munich, Germany.
    13. Nuno Carlos Leitão & Muhammad Shahbaz, 2016. "Economic Growth, Tourism Arrivals and Climate Change," Bulletin of Energy Economics (BEE), The Economics and Social Development Organization (TESDO), vol. 4(1), pages 35-43, March.
    14. Martinho, Vítor João Pereira Domingues, 2013. "Spatial analysis of the tourism supply, in Portugal, at NUTs III level," EconStor Preprints 71762, ZBW - Leibniz Information Centre for Economics.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:agr:journl:v:3(544):y:2010:i:3(544):p:63-74. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Mircea Dinu (email available below). General contact details of provider: https://edirc.repec.org/data/agerrea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.