IDEAS home Printed from https://ideas.repec.org/a/qua/journl/v21y2024i1p71-86.html
   My bibliography  Save this article

Economic growth, tourism, and economic policy uncertainty in the main tourist destinations (1998-2018)

Author

Listed:
  • Mario Gómez

    (Instituto de Investigaciones Económicas y Empresariales, Universidad Michoacana de San Nicolás de Hidalgo. México. Visiting Professor, Departament of Economics, Carleton University, Canada.)

  • Lisset Cándano

    (Instituto de Investigaciones Económicas y Empresariales, Universidad Michoacana de San Nicolás de Hidalgo, México.)

Abstract

Objective: to study the relationship among tourism demand and economic growth, real exchange rate, and economic policy uncertainty (EPU) in Australia, China, France, Germany, Italy, Japan, Spain, the United States, and the United Kingdom. Methodology: cross-section dependence, unit root, and cointegration tests were applied. The long-term model was estimated according to the Panel-Corrected Standard Error (PCSE), Feasible Generalised Least Squares (FGLS), and Ful-ly Modified Ordinary Least Square (FMOLS). Results: the results show a positive relationship between economic growth and the real exchange rate concerning tourism demand. In the long term, the causality relation-ship is from uncertainty, exchange rate, and GDP to tourism. The feedback hypothesis is validated.Limitations: availability of data.Originality: it studies the joint influence of economic growth and the EPU on demand for tourism in the countries of the world’s leading destinations for international tourism ac-cording to international tourist income.Conclusions: tourism will drive general economic growth and, correspondingly, investment in other sectors of the economy will also influence an increase in tourism.

Suggested Citation

  • Mario Gómez & Lisset Cándano, 2024. "Economic growth, tourism, and economic policy uncertainty in the main tourist destinations (1998-2018)," EconoQuantum, Revista de Economia y Finanzas, Universidad de Guadalajara, Centro Universitario de Ciencias Economico Administrativas, Departamento de Metodos Cuantitativos y Maestria en Economia., vol. 21(1), pages 71-86, January-J.
    • Handle: RePEc:qua:journl:v:21:y:2024:i:1:p:71-86
    as

    Download full text from publisher

    File URL: https://econoquantum.cucea.udg.mx/index.php/EQ/article/view/7315/6800
    Download Restriction: no
    File URL: https://econoquantum.cucea.udg.mx/index.php/EQ/issue/view/705
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    tourism; economic growth; uncertainty; causal-ity; panel data; heterogeneous panel.;
    All these keywords.

    JEL classification:

    • Z30 - Other Special Topics - - Tourism Economics - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics

    Statistics

    Access and download statistics

    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:qua:journl:v:21:y:2024:i:1:p:71-86. 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: Sandra Ivett Portugal Padilla (email available below). General contact details of provider: https://edirc.repec.org/data/dmudgmx.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.