Abstract
Based on the Eviews software and panel data of Guangzhou city, Shenzhen city and Zhuhai city, the study investigated the dynamic relationship between regional tourism and economic growth, using the methods including Cointegration Test, Granger Causality Test, VAR models and Variance Decomposition. The study result shows that there are long-term mutual effects between regional economic growth and regional tourism industry in each area. And in each area, the local GDP, Earning from International Tourism (EIT) and Earning from Domestic Tourism (EDT) have cointegration relationship. Moreover, in one certain area, the contribution rate of different factors to fluctuation of one variable changes over time.
Highlights
Research on dynamics between tourism development and economic growth has received wide attention in recentHow to cite this paper: Huang, Y. and Zhang, M. (2016) Study on Spatial Difference of the Relationship between Regional Tourism and Economic Growth—Comparative Study of Guangzhou, Shenzhen and Zhuhai in Light of VAR Model
Study results show that in the long run, economic growth and tourism development in the three cities show bidirectional causality relationship and mutually influence each other; Gross Domestic Production (GDP), Earning from International Tourism (EIT) and Earning from Domestic Tourism (EDT) of the three cities all have co-integration relationship and the contribution rate of the other two variables and the intrinsic factors of the third variable to the fluctuation of the third factor would change over time
Recommendations concerning economic construction and tourism development in Guangzhou, Shenzhen and Zhuhai are proposed in light of regional difference
Summary
How to cite this paper: Huang, Y. and Zhang, M. (2016) Study on Spatial Difference of the Relationship between Regional Tourism and Economic Growth—Comparative Study of Guangzhou, Shenzhen and Zhuhai in Light of VAR Model. (2016) Study on Spatial Difference of the Relationship between Regional Tourism and Economic Growth—Comparative Study of Guangzhou, Shenzhen and Zhuhai in Light of VAR Model. The theory is formed based on the research conducted by Apergis [8], Chen [9], Lee [10] and Ribberstaat [11] in nine Caribbean coastal countries, South Korea, Non-OECD countries and Aruba, concluding that relationship between tourism development and economic growth features bidirectional causality; fourth, NC (non causality) theory. This paper, taking Guangzhou, Shenzhen and Zhuhai for research subject, has constructed a VAR model based on panel date collected so as to analyze spatial difference of the relationship between economic growth and tourism development. The results of the paper serve to provide strategic recommendations for economic construction and tourism development for Guangzhou, Shenzhen and Zhuhai as well as empirical experience for following studies by illuminating innovations of new perspective and method
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