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Environmental Quality and Optimal Investment in Tourism Infrastructures: A Small Island Perspective

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  • Sauveur Giannoni
  • Marie-Antoinette Maupertuis

Abstract

As tourism is becoming one of the most important sectors of the world economy, the number of small islands trying to develop a competitive tourist activity is increasing and this strategy appears as growth enhancing. In most cases, it relies on the environmental quality of the destination, but also on lodging infrastructures and related services that tourists deserve in order to enjoy a good experience. This paper explores the intertemporal trade-off between investments and environmental quality preservation needed to ensure tourism profitability in the long run. It highlights the possible cyclical evolution of environmental quality, tourist infrastructures, investments and visitor numbers, considering both the central planner and the market solutions.

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  • Sauveur Giannoni & Marie-Antoinette Maupertuis, 2007. "Environmental Quality and Optimal Investment in Tourism Infrastructures: A Small Island Perspective," Tourism Economics, , vol. 13(4), pages 499-513, December.
    • Handle: RePEc:sae:toueco:v:13:y:2007:i:4:p:499-513
    DOI: 10.5367/000000007782696014
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    References listed on IDEAS

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    1. Greiner, Alfred & Feichtinger, Gustav & Haunschmied, Josef L. & Kort, Peter M. & Hartl, Richard F., 2001. "Optimal periodic development of a pollution generating tourism industry," European Journal of Operational Research, Elsevier, vol. 134(3), pages 582-591, November.
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    Cited by:

    1. Rainer Andergassen & Guido Candela & Paolo Figini, 2017. "The management of tourism destinations," Tourism Economics, , vol. 23(1), pages 49-65, February.
    2. Natalia Porto & Matías Ciaschi, 2021. "Reformulating the tourism-extended environmental Kuznets curve: A quantile regression analysis under environmental legal conditions," Tourism Economics, , vol. 27(5), pages 991-1014, August.
    3. Jarvis, Diane & Stoeckl, Natalie & Liu, Hong-Bo, 2016. "The impact of economic, social and environmental factors on trip satisfaction and the likelihood of visitors returning," Tourism Management, Elsevier, vol. 52(C), pages 1-18.
    4. Nicola Camatti & Luca Salmasi & Jan van der Borg, "undated". "Tourism and economic growth: an application to coastal regions in the Mediterranean area," Working Papers 2021:16, Department of Economics, University of Venice "Ca' Foscari".
    5. Paolo Figini & Laura Vici, 2010. "Tourism and Growth in a Cross Section of Countries," Tourism Economics, , vol. 16(4), pages 789-805, December.
    6. José Manuel Ordóñez-de-Haro & Jordi Perdiguero & Juan-Luis Jiménez, 2020. "Fuel prices at petrol stations in touristic cities," Tourism Economics, , vol. 26(1), pages 45-69, February.
    7. Simone Marsiglio, 2018. "On the implications of tourism specialization and structural change in tourism destinations," Tourism Economics, , vol. 24(8), pages 945-962, December.
    8. Andergassen, Rainer & Candela, Guido & Figini, Paolo, 2013. "An economic model for tourism destinations: Product sophistication and price coordination," Tourism Management, Elsevier, vol. 37(C), pages 86-98.
    9. Daisy XF Fan & Anyu Liu & Richard TR Qiu, 2019. "Revisiting the relationship between host attitudes and tourism development: A utility maximization approach," Tourism Economics, , vol. 25(2), pages 171-188, March.
    10. Simone Marsiglio, 2017. "On the carrying capacity and the optimal number of visitors in tourism destinations," Tourism Economics, , vol. 23(3), pages 632-646, May.
    11. Carmen D. à lvarez-Albelo & Raúl Hernández-Martín, 2012. "Congestion and Coordination Problems in a Tourism Economy," Tourism Economics, , vol. 18(4), pages 691-710, August.
    12. Canh P Nguyen, 2023. "Last chance to travel or safety first? The influence of exposure to natural hazards and coping capacities on tourism consumption," Tourism Economics, , vol. 29(4), pages 952-985, June.
    13. Ming-Chieh Wang & Chang-Sheng Wang, 2018. "Tourism, the environment, and energy policies," Tourism Economics, , vol. 24(7), pages 821-838, November.

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