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Can nature promote development? The role of sustainable tourism for economic growth

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  • Andreas Freytag
  • Christoph Vietze

Abstract

In this paper, we analyse whether biodiversity can enhance the developmental process in developing countries (DCs) by increasing tourism receipts in a trade-based endogenous growth framework. The model is based on the underlying assumption that a rich biodiversity provides a comparative advantage in sustainable tourism services. The empirical evidence shows that biodiversity while being significantly and positively correlated with inbound tourism receipts has no significant effect on tourist arrivals (mass tourism). This suggests that the biodiversity endowment of a very country is an important precondition for sustainable tourism. Moreover, we empirically show that specialising in sustainable tourism promotes economic growth. Therefore, a promising development strategy can rests on the investment into biodiversity which attracts high-budget tourists.

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  • Andreas Freytag & Christoph Vietze, 2013. "Can nature promote development? The role of sustainable tourism for economic growth," Journal of Environmental Economics and Policy, Taylor & Francis Journals, vol. 2(1), pages 16-44, March.
    • Handle: RePEc:taf:teepxx:v:2:y:2013:i:1:p:16-44
    DOI: 10.1080/21606544.2012.754611
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    Cited by:

    1. Christoph Vietze, 2012. "Cultural Effects on Inbound Tourism into the USA: A Gravity Approach," Tourism Economics, , vol. 18(1), pages 121-138, February.
    2. Ilham Junaid & Anne-Marie d’Hauteserre, 2017. "Collaborative schemes for anticipating negative impacts of the tourists' visit," Tourism and Hospitality Management, University of Rijeka, Faculty of Tourism and Hospitality Management, vol. 23(2), pages 279-294, November.
    3. Dong Lu & Yide Liu & Ivan Lai & Li Yang, 2017. "Awe: An Important Emotional Experience in Sustainable Tourism," Sustainability, MDPI, vol. 9(12), pages 1-15, November.
    4. Darboe, sarjo, 2024. "The Dynamic Impact of biodiversity on Tourism: empirical evidence from Gambia," MPRA Paper 120063, University Library of Munich, Germany.
    5. Yang, Yang & Xue, Lan & Jones, Thomas E., 2019. "Tourism-enhancing effect of World Heritage Sites: Panacea or placebo? A meta-analysis," Annals of Tourism Research, Elsevier, vol. 75(C), pages 29-41.

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    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment
    • Q26 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Recreational Aspects of Natural Resources

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