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Tourism and growth in european countries : an application of likelihood-based panel cointegration

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Detalhes bibliográficos
Resumo:This paper applies likelihood-based panel cointegration techniques to examine the exis- tence of a long run relationship between GDP, tourism earnings per tourist and total trade volume for a panel of European countries over the period 1988{2010. Removing the cross dependency, our panel tourism-led growth model indicates that tourism development has a higher impact on GDP in the North than in South European countries. The policy implication of this result is that for this group of countries, the best strategy is to raise tourism receipts. Furthermore, the volume of trade shows a significant and much more stronger effect on the long run economic growth in our sample economies than tourism does.
Autores principais:Mello-Sampayo, Felipa de
Outros Autores:Sousa-Vale, Sofia de
Assunto:Tourism Economic Growth Rank Tests Panel Unit Root Tests Panel Cointegration
Ano:2012
País:Portugal
Tipo de documento:working paper
Tipo de acesso:acesso aberto
Instituição associada:Universidade de Lisboa
Idioma:inglês
Origem:Repositório da Universidade de Lisboa
Descrição
Resumo:This paper applies likelihood-based panel cointegration techniques to examine the exis- tence of a long run relationship between GDP, tourism earnings per tourist and total trade volume for a panel of European countries over the period 1988{2010. Removing the cross dependency, our panel tourism-led growth model indicates that tourism development has a higher impact on GDP in the North than in South European countries. The policy implication of this result is that for this group of countries, the best strategy is to raise tourism receipts. Furthermore, the volume of trade shows a significant and much more stronger effect on the long run economic growth in our sample economies than tourism does.