Abstract
The study analysed the impact of tourism, trade, consumption expenditure, electricity usage, and population on carbon dioxide emissions (CO2) in leading tourist destinations. The study uses a panel dataset of 32 countries from different continents between 2001 and 2020 and applies the generalized method of moments (GMM) and Quantile Regression approaches. The results suggest that tourism (arrivals and revenues) can reduce environmental degradation, and that CO2 emissions increase due to factors such as GDP per capita, electricity consumption, and population growth. Trade openness can reduce CO2 emissions, and controlling for final consumption also indicates a decrease in CO2 emissions. The study suggests that sustainable tourism practices, responsible consumption, and larger international integration may play a role in mitigating CO2 emissions. Leading tourist destinations should develop sustainable urban areas to accommodate population growth, and embrace eco-friendly technologies, infrastructure, and consumption patterns to promote sustainable economic growth while reducing CO2 emissions.
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