Macroeconomic Factors Influencing Malaysian Tourism Revenue, 2002–2008

Abstract

The Malaysian tourism industry has flourished considerably over the years due to the growth of new tourist landmarks, together with its rich cultural heritage. The industry generated 6.78% of the total income from exports in 2008. This paper focuses on the dynamic relationship between macroeconomic factors and tourism revenue in Malaysia from January 2002 to December 2008. In this context, the authors investigate the presence of seasonal fluctuations in tourism revenue and examine the macroeconomic factors influencing the five top tourist-generating countries for Malaysia.