A Structural Change and Productivity Perspective of Tourism’s Contribution to Economic Growth: The Case of Zhangjiajie in China

Abstract

This study provides empirical evidence of how tourism triggers economic growth from a meso-level structural perspective. It introduces a novel shift-share approach in accordance with the Lewis hypothesis to analyze the spillover effect of tourism on economic restructuring and sectoral labor productivity. The study demonstrates a hump-shaped positive structural spillover effect exerted by tourism onto economic growth and identifies the emergence of a new tourism-related industrialization in the showcased destination, the Zhangjiajie city in China. The study captures the interactions between tourism and the other sectors of the economy and contributes to an in-depth understanding of tourism’s contribution to overall economy.