IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i9p5238-d550274.html
   My bibliography  Save this article

The Impact of Tourism on Solid Waste Generation and Management Cost in Madeira Island for the Period 1996–2018

Author

Listed:
  • António Miguel Martins

    (CEEAplA (Center of Applied Economic Studies of the Atlantic) and University of Madeira, 9020-105 Funchal, Portugal)

  • Susana Cró

    (CEFAGE and University of Évora, 7004-516 Évora, Portugal)

Abstract

The tourism sector in Madeira represents 26.6% of the regional GDP and 16.7% of employment in the region. However, the sector is a source of adverse environmental impacts. One of the environmental repercussions of tourism, regarded as an externality, is the generation of solid waste. This paper aims to estimate the impact of tourist activities on solid waste generation in Madeira for the period 1996–2018. We used a fully modified ordinary least squares (FMOLS) model, including annual tourism inflows data. The results show that tourist activities are responsible for 41.9% to 46.6% of solid waste generation per resident in Madeira. The empirical results also support the hypothesis that there is a non-linear effect of tourism on the generation of solid waste. The importance of internalising this negative externality caused by tourism with the implementation of appropriate economic instruments and policies is the main policy implication of the study.

Suggested Citation

  • António Miguel Martins & Susana Cró, 2021. "The Impact of Tourism on Solid Waste Generation and Management Cost in Madeira Island for the Period 1996–2018," Sustainability, MDPI, vol. 13(9), pages 1-16, May.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:9:p:5238-:d:550274
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/9/5238/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/13/9/5238/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Engle, Robert & Granger, Clive, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 39(3), pages 106-135.
    2. Serena Ng & Pierre Perron, 2001. "LAG Length Selection and the Construction of Unit Root Tests with Good Size and Power," Econometrica, Econometric Society, vol. 69(6), pages 1519-1554, November.
    3. Peter C. B. Phillips & Bruce E. Hansen, 1990. "Statistical Inference in Instrumental Variables Regression with I(1) Processes," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 57(1), pages 99-125.
    4. Elliott, Graham & Rothenberg, Thomas J & Stock, James H, 1996. "Efficient Tests for an Autoregressive Unit Root," Econometrica, Econometric Society, vol. 64(4), pages 813-836, July.
    5. Logar, Ivana, 2010. "Sustainable tourism management in Crikvenica, Croatia: An assessment of policy instruments," Tourism Management, Elsevier, vol. 31(1), pages 125-135.
    6. Phillips, Peter C B & Ouliaris, S, 1990. "Asymptotic Properties of Residual Based Tests for Cointegration," Econometrica, Econometric Society, vol. 58(1), pages 165-193, January.
    7. Gang Liu, 2014. "Food Losses and Food Waste in China: A First Estimate," OECD Food, Agriculture and Fisheries Papers 66, OECD Publishing.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Maria Assunta Barchiesi & Roberta Costa & Francesca Di Pillo, 2022. "The Link between the Compliance with Environmental Legislation on Separate Collection and the Municipal Solid Waste Costs," Sustainability, MDPI, vol. 14(9), pages 1-13, May.
    2. Aglaia-Spyridoula Koliotasi & Konstadinos Abeliotis & Paris-Georgios Tsartas, 2023. "Understanding the Impact of Waste Management on a Destination′s Image: A Stakeholders′ Perspective," Tourism and Hospitality, MDPI, vol. 4(1), pages 1-13, January.
    3. Nik Nor Rahimah Nik Ab Rahim & Jamal Othman & Norlida Hanim Mohd Salleh & Norshamliza Chamhuri, 2021. "A Non-Market Valuation Approach to Environmental Cost-Benefit Analysis for Sanitary Landfill Project Appraisal," Sustainability, MDPI, vol. 13(14), pages 1-18, July.
    4. Rr. M. I. Retno Susilorini & Amrizarois Ismail & B. Y. Arya Wastunimpuna & Dhiyan Krishna Wardhani & Laurel Lia Nola Prameswari & Ardhito Hayyu Amasto & Agus Suryono, 2022. "Tourism Village Carbon Footprint after COVID-19 Pandemic: A Challenge to Sustainability," Sustainability, MDPI, vol. 14(4), pages 1-17, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Herzer Dierk, 2022. "Semi-endogenous Versus Schumpeterian Growth Models: A Critical Review of the Literature and New Evidence," Review of Economics, De Gruyter, vol. 73(1), pages 1-55, April.
    2. Eleni Constantinou & Avo Kazandjian & Georgios P. Kouretas & Vera Tahmazian, 2008. "Common Stochastic Trends Among The Cyprus Stock Exchange And The Ase, Lse And Nyse," Bulletin of Economic Research, Wiley Blackwell, vol. 60(4), pages 327-349, October.
    3. Christou, Christina & Gupta, Rangan & Nyakabawo, Wendy & Wohar, Mark E., 2018. "Do house prices hedge inflation in the US? A quantile cointegration approach," International Review of Economics & Finance, Elsevier, vol. 54(C), pages 15-26.
    4. Luis F. Martins & Paulo M. M. Rodrigues, 2022. "Tests for segmented cointegration: an application to US governments budgets," Empirical Economics, Springer, vol. 63(2), pages 567-600, August.
    5. Melo, Patricia C. & Sobreira, Nuno & Goulart, Pedro, 2019. "Estimating the long-run metro demand elasticities for Lisbon: A time-varying approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 126(C), pages 360-376.
    6. Mohamed Maher & Yanzhi Zhao, 2022. "Do Political Instability and Military Expenditure Undermine Economic Growth in Egypt? Evidence from the ARDL Approach," Defence and Peace Economics, Taylor & Francis Journals, vol. 33(8), pages 956-979, November.
    7. Tursoy, Turgut & Faisal, Faisal, 2018. "The impact of gold and crude oil prices on stock market in Turkey: Empirical evidences from ARDL bounds test and combined cointegration," Resources Policy, Elsevier, vol. 55(C), pages 49-54.
    8. Drakos, Anastassios A., 2016. "Does the relationship between small and large portfolios’ returns confirm the lead–lag effect? Evidence from the Athens Stock Exchange," Research in International Business and Finance, Elsevier, vol. 36(C), pages 546-561.
    9. Shahbaz, Muhammad, 2013. "Linkages between inflation, economic growth and terrorism in Pakistan," Economic Modelling, Elsevier, vol. 32(C), pages 496-506.
    10. Pierre Perron & Gabriel Rodríguez, "undated". "Residuals-based Tests for Cointegration with GLS Detrended Data," Boston University - Department of Economics - Working Papers Series wp2015-017, Boston University - Department of Economics, revised 19 Oct 2015.
    11. Dakpogan, Arnaud & Smit, Eon, 2018. "The effect of electricity losses on GDP in Benin," MPRA Paper 89545, University Library of Munich, Germany.
    12. David Greasley & Les Oxley, 2010. "Cliometrics And Time Series Econometrics: Some Theory And Applications," Journal of Economic Surveys, Wiley Blackwell, vol. 24(5), pages 970-1042, December.
    13. Singh, Tarlok, 2010. "Does domestic saving cause economic growth? A time-series evidence from India," Journal of Policy Modeling, Elsevier, vol. 32(2), pages 231-253, March.
    14. Rapach, David E. & Wohar, Mark E., 2002. "Testing the monetary model of exchange rate determination: new evidence from a century of data," Journal of International Economics, Elsevier, vol. 58(2), pages 359-385, December.
    15. Muhammad Shahbaz & Muhammad shahbaz Shabbir & Muhammad sabihuddin Butt, 2016. "Does Military Spending Explode External Debt in Pakistan?," Defence and Peace Economics, Taylor & Francis Journals, vol. 27(5), pages 718-741, September.
    16. Christopher J. Neely & David E. Rapach, 2008. "Real interest rate persistence: evidence and implications," Review, Federal Reserve Bank of St. Louis, vol. 90(Nov), pages 609-642.
    17. Shahbaz, Muhammad & Ur Rehman, Ijaz & Zainudin, Rozaimah, 2013. "Macroeconomic Determinants of Stock Market Capitalization in Pakistan:Fresh Evidence from Cointegration with unknown Structural breaks," MPRA Paper 52490, University Library of Munich, Germany, revised 24 Dec 2013.
    18. Kwapil, Claudia & Scharler, Johann, 2010. "Interest rate pass-through, monetary policy rules and macroeconomic stability," Journal of International Money and Finance, Elsevier, vol. 29(2), pages 236-251, March.
    19. Hirukawa, Masayuki, 2023. "Robust Covariance Matrix Estimation in Time Series: A Review," Econometrics and Statistics, Elsevier, vol. 27(C), pages 36-61.
    20. David Greasley & Nick Hanley & Eoin McLaughlin & Les Oxley, 2014. "The Emperor Has New Clothes: Empirical Tests of Mainstream Theories of Economic Growth," Discussion Papers in Environment and Development Economics 2014-01, University of St. Andrews, School of Geography and Sustainable Development.

    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:gam:jsusta:v:13:y:2021:i:9:p:5238-:d:550274. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.