Abstract
The impact of terrorist events on various business sectors has been widely publicized, and the tourism travel industry has been one of the most impacted industries. Prior work has shown that air travel is affected by a terrorist incident within the region in which it occurred. This research is the first to model the magnitude of the episode, the duration of the effect, and the shape of life the cycle. Two terrorism events that affected tourist air travel are analyzed: 9/11 and the Madrid train bombings. Our findings suggest that the impact on tourist air travel from these catastrophes follow scalable and fad life cycles, respectively. These results have significant implications for the tourism travel industry, which are identified and discussed.
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