"Few Determinats Of The Average Amounts Of Money Tourists Spend While Visiting Alba County. A Regression Model Considering White's Heteroskedasticity- Consistent Standard Errors & The Covariance And Different We "

Abstract

The aim of this research is to analyse the average expenditure of the tourists visiting Alba County during 2013-2015, and the way this is influenced by different independent variables. Into Equation Estimation, Least Squares Options, we outlined the next specific estimation settings: for Coefficient covariance matrix we selected “White†and for weights options we pointed out Inverse standard deviation for Type, we entered NO_DAYS in the Weight series field, and for Scaling we choose Average mode. In the log-log regression model, half of the predictors will determine an increase and the other half will determine a decrease in the tourists' average expenditure. According to the model, the results show that if the number of days at the destination increases by 1 %, the expenditures will increase by 0.58%, and if the number of visits increases by 1 % than the expenditures will decrease by 0.64%. Of all the exogenous dichotomous variables, the one related to 56_65 age (i.e. tourist between 56 and 65 years old) contributes most to the decrease of the estimated average expenditure, by about 1.16%, and the one that contributes most to their increase is “staff amiability†, by about 0.70%. In conclusion, we accomplished to estimate the equation by using White's heteroskedasticity- consistent standard errors & covariance and different Weights options. The results show that in 49% of the cases, tourists' average expenditure increases and it decreases in 51%.