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The role of tourism and exchange rate on economic growth:Evidence from the BIMP-EAGA countries

Author

Listed:
  • Hanafiah Harvey

    (Pennsylvania State University, Mont Alto)

  • Fumitaka Furuoka

    (University of Malaya)

  • Qaiser Munir

    (Universiti Malaysia Sabah)

Abstract

Developing economies as well as developed economies recognized appropriate tourism policies will be an important factor in promoting economic growth. BIMP-EAGA (Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area) was conceived with the objective to speed up economic development among the four countries and one of which is focused on tourism. Focusing on annual data, this paper utilized the bounds testing approach to cointegration and error-correction modeling to evaluate if tourism and exchange rates promote economic growth in BIMP-EAGA. The results revealed that Philippines is the only country that has a positive short and long impact from tourism's industry and exchange rates.

Suggested Citation

  • Hanafiah Harvey & Fumitaka Furuoka & Qaiser Munir, 2013. "The role of tourism and exchange rate on economic growth:Evidence from the BIMP-EAGA countries," Economics Bulletin, AccessEcon, vol. 33(4), pages 2756-2762.
    • Handle: RePEc:ebl:ecbull:eb-13-00431
    as

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    References listed on IDEAS

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    Cited by:

    1. Martins, Luís Filipe & Gan, Yi & Ferreira-Lopes, Alexandra, 2017. "An empirical analysis of the influence of macroeconomic determinants on World tourism demand," Tourism Management, Elsevier, vol. 61(C), pages 248-260.

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    More about this item

    Keywords

    Tourism; Economic Growth; BIMP-EAGA; ARDL; Exchange Rate;
    All these keywords.

    JEL classification:

    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance
    • F3 - International Economics - - International Finance

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