Abstract
Forecast combinations have been successfully used in applied research in tourism and other fields. This chapter aims to demonstrate the application of various forecast combination techniques in tourism forecasting exercises, specifically tourism demand for Thailand from four source markets: mainland China, Malaysia, Russia, and the USA. Four combination models, namely, simple average, variance-covariance, discounted mean square forecast error (MSFE), and shrinkage methods, are used and tested separately. Ultimately, we find that forecast combinations are an effective tool to increase forecast accuracy and decrease forecast failure risk.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
