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The Linkage Between Tourism Development and Economic Growth in Malaysia: A Nonlinear Approach

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  • Mohammad Sharif Karimi

Abstract

In this study, we examine the nonlinear relationship between international tourism arrival and economic growth of Malaysia by using asymmetric models over the periods 2000:1–2015:4. The results show that the tourism arrival is positively related to Malaysia’s economic growth in the long run, but there is no short-run relationship and other traditional growth factors such as trade, exchange rate and Consumer Price Index are important for economic growth in the case of Malaysia. This implies that tourism can be one of the important factors for Malaysia’s economic growth in the long run and development and can be used to stimulate the overall economic growth and hence, policy-makers should pay greater attention towards promoting inbound tourism.

Suggested Citation

  • Mohammad Sharif Karimi, 2018. "The Linkage Between Tourism Development and Economic Growth in Malaysia: A Nonlinear Approach," International Economic Journal, Taylor & Francis Journals, vol. 32(1), pages 53-65, January.
    • Handle: RePEc:taf:intecj:v:32:y:2018:i:1:p:53-65
    DOI: 10.1080/10168737.2018.1440411
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    Cited by:

    1. Yanxia Wang & Jianping Yang & Fan Tang & Qiuling Ge & Qingshan He & Xun Dai, 2022. "Analysis of the Reciprocal Feedback between Glacier Tourism Development and Regional Economic Growth in Hailuogou," Land, MDPI, vol. 12(1), pages 1-17, December.
    2. Manu Sharma & Geetilaxmi Mohapatra & A. K. Giri, 2022. "Examining the macro-determinants of tourist arrivals in India," SN Business & Economics, Springer, vol. 2(8), pages 1-18, August.
    3. Jitendra Sharma & Subrata Kumar Mitra, 2021. "Asymmetric relationship between tourist arrivals and employment," Tourism Economics, , vol. 27(5), pages 952-970, August.
    4. Erdoğan, Seyfettin & Gedikli, Ayfer & Cevik, Emrah Ismail & Erdoğan, Fatma, 2022. "Eco-friendly technologies, international tourism and carbon emissions: Evidence from the most visited countries," Technological Forecasting and Social Change, Elsevier, vol. 180(C).
    5. Guillermo Vázquez Vicente & Victor Martín Barroso & Francisco José Blanco Jiménez, 2021. "Sustainable Tourism, Economic Growth and Employment—The Case of the Wine Routes of Spain," Sustainability, MDPI, vol. 13(13), pages 1-17, June.
    6. Sook Rei Tan & Jacob Wood & Haejin Jang & Caroline Wong & Changtai Li, 2024. "Tourism‐induced growth and quality of life: the Singapore story," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 38(1), pages 204-224, May.
    7. Lamia Jamel, 2020. "The Relation between Tourism and Economic Growth: A Case of Saudi Arabia as an Emerging Tourism Destination," Virtual Economics, The London Academy of Science and Business, vol. 3(4), pages 29-47, October.
    8. Aspasia E. Fafouti & Anastasia Vythoulka & Ekaterini T. Delegou & Nikolaos Farmakidis & Maria Ioannou & Komninos Perellis & Antonis Giannikouris & Nikolaos A. Kampanis & George Alexandrakis & Antonia , 2023. "Designing Cultural Routes as a Tool of Responsible Tourism and Sustainable Local Development in Isolated and Less Developed Islands: The Case of Symi Island in Greece," Land, MDPI, vol. 12(8), pages 1-39, August.
    9. Shengrui Zhang & Lei Chi & Tongyan Zhang & Yingjie Wang, 2022. "Spatial Pattern and Influencing Factors of Tourism Resources in Northwestern Ethnic Areas in China—A Case Study of Longde County," IJERPH, MDPI, vol. 19(24), pages 1-20, December.
    10. Jianxu Liu & Vicente Ramos & Bing Yang & Mengjiao Wang & Songsak Sriboonchitta, 2024. "Analysing the dynamic co-movement between tourism and expected economic growth considering extreme events," Tourism Economics, , vol. 30(1), pages 3-26, February.

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