Tourism Economics Research Articles

7th QATEM (Quantitative Advances in Tourism Economics and Management) workshop

7th QATEM (Quantitative Advances in Tourism Economics and Management) workshop

Editorial of the special issue on contemporary issues in tourism economics

Editorial of the special issue on contemporary issues in tourism economics

Economic Impact of Major Sporting Events on Local Economies

Purpose: This study sought to explore the economic impact of major sporting events on local economies. Methodology: The study adopted a desktop research methodology. Desk research refers to secondary data or that which can be collected without fieldwork. Desk research is basically involved in collecting data from existing resources hence it is often considered a low cost technique as compared to field research, as the main cost is involved in executive’s time, telephone charges and directories. Thus, the study relied on already published studies, reports and statistics. This secondary data was easily accessed through the online journals and library. Findings: The findings reveal that there exists a contextual and methodological gap relating to the economic impact of major sporting events on local economies. Preliminary empirical review revealed that while such events often yielded significant short-term economic benefits, including increased tourism revenue and job creation, their long-term sustainability remained uncertain due to common challenges like cost overruns and underutilized infrastructure. Factors such as event scale, location, and management influenced the extent of economic impact, with effective planning and stakeholder engagement playing crucial roles. Legacy planning and sustainable development strategies were deemed essential for maximizing economic benefits beyond the event itself, with a focus on inclusivity and social equity. The study emphasized the importance of ongoing research and evaluation to inform future decision-making processes regarding event hosting and resource allocation. Unique Contribution to Theory, Practice and Policy: The Urban Economics theory, Tourism Economics theory and Public Finance theory may be used to anchor future studies on the economic impact of major sporting events on local economies. Researchers emphasized the importance of conducting comprehensive economic impact assessments prior to hosting events, facilitating informed decision-making. Legacy planning and sustainable development strategies were advocated to ensure that event-related investments contributed to long-term economic development. Stakeholder engagement and collaboration were prioritized to distribute economic benefits equitably. Diversifying revenue streams and leveraging ancillary economic opportunities were recommended to maximize economic benefits. Additionally, promoting destination branding and tourism development was highlighted as a key strategy for attracting investment and business opportunities. Policymakers were advised to adopt a holistic approach to event planning, integrating economic, social, cultural, and environmental considerations to host successful and sustainable events.

Editorial

The Journal Scientific Research World Economy EconConnections - Professionals On Line, plays an essential role as the main platform for the dissemination of theoretical and empirical research in a wide range of disciplines within the field of economics and related areas. Enveloping a wide range of topics, it stands as the primary channel for the exploration of general economic theory, political economy, business economics, industrial economics, labor economics, urban and rural economics, development economics, technological economics, tourism economics, transportation economics, macroeconomics, microeconomics, quantitative economics, resources and environmental economics, economic history and demography, as well as international trade, exchange rates, finance , accounting and insurance.

Differences in tourism economic development and its influencing factors among three major city clusters along the middle reaches of the Yangtze River.

An in-depth study of the mechanisms governing the generation, evolution, and regulation of differences in tourism economics holds significant value for the rational utilization of tourism resources and the promotion of synergistic tourism economic development. This study utilizes mathematical statistical analysis and GIS spatial analysis to construct a single indicator measure and a comprehensive indicator measure to analyze tourism-related data in the research area from 2004 to 2019. The main factors influencing the spatial and temporal differences in the tourism economy are analyzed using two methods, namely, multiple linear regression and geodetector. The temporal evolution, overall differences and differences within each city group fluctuate downwards, while the differences between groups fluctuate upwards. Domestic tourism economic differences contribute to over 90% of the overall tourism economic differences. Spatial divergence, the proportion of the tourism economy accounted for by spatial differences is obvious, the comprehensive level of the tourism economy can be divided into five levels. The dominant factors in the formation of the pattern of spatial and temporal differences in the tourism economy are the conditions of tourism resources based on class-A tourist attractions and the level of tourism industry and services based on star hotels and travel agencies. This study addresses the regional imbalance of tourism economic development in city clusters and with the intent of promoting balanced and high-quality development of regional tourism economies.

Tourism economics development beyond the COVID-19 crisis: The eight International Association for Tourism Economics (IATE) conference

Tourism economics development beyond the COVID-19 crisis: The eight International Association for Tourism Economics (IATE) conference

Exploring the research impact of Professor Efthymios (Mike) Tsionas

This paper provides a literature review of Professor Efthymios (Mike) Tsionas’ influential contributions to the fields of econometrics and tourism economics. Tsionas’ research spans a broad spectrum of methodological advancements and empirical analyses, focusing particularly on Bayesian inference, stochastic frontier models, and efficiency and productivity estimation. In econometrics, Tsionas’ work has significantly advanced the understanding and application of Bayesian methods for modeling complex relationships and uncertainties in economic data. His research has contributed to the development of innovative techniques for efficiency and productivity estimation, offering valuable insights into the determinants and dynamics of firm performance across various industries. Tsionas’ contributions to tourism economics have shed light on the dynamics of the tourism industry, including topics such as destination management, hospitality operations, and the economic impact of tourism. Overall, Tsionas’ methodological advancements and empirical analyses continue to shape research agendas and drive innovations in econometrics and tourism economics.

Sustainable Waste Management and Economic Impact at Loang Baloq Park, Mataram City: A Focus on Tourism Economics

This qualitative study investigates the nexus between sustainable waste management and tourism economics at Loang Baloq Park, Mataram City. Utilizing interviews, focus group discussions, observational studies, document analysis, and ethnographic engagement, the research explores stakeholder perspectives and behaviors. The research intervention transformed waste management practices, introducing designated trash bins and addressing sanitation issues. Collaboration with Sekolah Tinggi Pariwisata Mataram and ambitious plans for a waste bank showcase a strategic shift toward economic sustainability. The study implemented a purposeful socialization approach, strategically aligning activities with economic goals to address waste management challenges while promoting local businesses

Investigating the non-linear impacts of seven types of natural disasters on inbound tourism: Insights from the EM-DAT database

The growing frequency and intensity of disasters due to climate change present considerable risks for tourist destinations, necessitating comprehensive research on their economic impacts. This study investigates the contemporaneous dose-response relationship between natural disasters and inbound tourism by estimating a flexible binned regression model. The analysis is conducted in a panel data setting from 1995 to 2019, spanning over 150 countries and accounting for the impact of more than 8,300 individual disasters from seven distinct categories. Examining seven natural disaster types (earthquakes, epidemics, extreme temperature events, floods, landslides, storms and wildfires) and five disaster impact metrics reflecting their human and economic impacts, the analysis reveals that increased disaster impact, except for earthquakes, correlates with reduced levels of tourist arrivals and travel expenditure. The paper provides valuable insights into the relationship between disasters, climate change, and tourism economics, informing disaster mitigation strategies and broader climate change assessments for tourism sector policy and decision-makers.

Туристично-рекреаційний потенціал регіону: сутність і фактори впливу

The article examines the category of «tourism potential of the region» and the factors that influence it. It has been found that most of the authors consider the phenomenon of tourism potential primarily through the prism of resource provision of the region (destination), and the rest of the uncontrolled factors of the macro-environment remain unattended. It is substantiated that the concepts of «tourism potential of the region» and «tourism potential of destination» are identical in content. It is noted that the study of factors and the need to model their impact on the economic potential of the destination stems from the fact that the latter acts as an object of investment policy at the micro-, meso- and macro-levels. It is identified that in connection with the mass translation of foreign literature, the scientific views of the Anglo-Saxon scientific space had a predominant influence on the domestic economic theory in the field of tourism, while the theoretical conceptions of tourism economics of researchers from continental Europe were insufficiently studied by domestic scientists. The expediency of interpreting the term «tourism potential of the region» not as a set of factors of resource provision of the destination, but as a certain property of the tourism system is substantiated. Otherwise, the concepts of «tourism potential of the region» and «tourism resources of the region» are identical. The authors suggest to interpret the tourism potential as the ability of a destination to form and implement a certain amount of tourism services and material goods that will be in demand and meet the needs of tourists and vacationers. The expediency of using the term «tourism product» as a set of existing and newly created public goods suitable for meeting the needs of tourists and visitors of the destination is substantiated. At this, the destination with its resource provision generates a tourism product, acting in the market as a supplying party. The expediency of differentiating the management system at the level of destination into strategic and operational components is substantiated: in the subsystem of strategic management of the destination, the tourism potential of the region acts as a target parameter, and in the subsystem of operational management it is the volume of the tourism product. It is noted that the level of tourism potential is determined by four factors: an aggregate of elements of supply on the part of the destination; current demand for travel services of the destination; competitive environment and expected trends in the development of tourism.

Potential Integration of Metaverse, Non-Fungible Tokens and Sentiment Analysis in Quantitative Tourism Economic Analysis

With the emergence of the metaverse, countries’ digital efforts to create tourism opportunities have given rise to the possibility of capitalising on digital content which, along with physical tourism experiences, can generate further income and enhance a country’s reputation. Non-fungible tokens (NFTs), a unique application of blockchain technology, offer an enabling technology in several sectors, including tourism. Therefore, this study aims to explore the official tourism websites of Croatia and Slovenia and analyse current NFT applications in tourism economics. The methodology focuses explicitly on sentiment analysis, blockchain and machine learning. The paper introduces various applications currently in place, including Slovenia’s “I Feel Nft” project. The research shows that the main benefits of using NFT and sentiment analysis in the tourism economy are the promotion and presentation of major tourist destinations, exhibitions, works of art, and companies’ products in tokens, digital content and souvenirs. The adoption of sentiment analysis and NFTs in the tourism economy is still open to proposals for implementing public quantitative data metrics. Therefore, the scientific contribution of this research is essential in terms of operational recommendations and defining metrics for measuring the effectiveness of those methodologies and their applications in the tourism economy. On top of that, the practical contribution lies in monitoring the influx of tourists, and highlighting their increase over time and the significance of new technology in time series tourism research.

Does tourism reduce the shadow economy? An international evidence

This paper investigates one of the positive contributions of tourism to the economy through the lens of its influences on the shadow economy. Specifically, our study analyzes the effects of five indicators of tourism consumption (including domestic tourism spending, international travel and tourism consumption, business tourism spending, leisure tourism spending, and outbound tourism spending on the percentage of shadow economy to GDP) in 129 economies between 1996 and 2015. We find interesting results that contribute to the existing literature about tourism economics. Firstly, the development of the inbound tourism industry reduces the shadow economy significantly, while outbound tourism causes higher underground economic activities. Secondly, the influence of tourism on the shadow economy is significant in both the short-run and long run with a stronger effect in the long run. Thirdly, the effect of tourism on the shadow economy is more significant in the 42 High-Income Economies and 54 Low and Lower-middle Income Economies, while it is less obvious in the 33 Upper-Middle Income Economies. These findings have been checked by a battery of robustness checks ensuring their statistical consistency.

Combining the power of artificial intelligence and mathematical modelling: A hybrid technique for enhanced forecast of tourism receipts

Despite being one of the most visited countries in the world, Türkiye's share of tourism revenue does not rank among the top ten. Therefore, it would be worth researching tourist expenditures and analysing this data could provide valuable insights. This research develops a novel approach to estimating and modelling tourism receipts by analysing expenditure types. Artificial intelligence-based methods, such as machine learning, have been increasingly used in the tourism literature to improve various aspects of the industry. However, little research has been conducted using a hybrid method to model and estimate tourist expenditure. This paper is the first to combine conventional mathematical analysis, specifically first-order two-variable polynomial equations, with artificial intelligence-based machine learning algorithms in a tourism setting. The research results indicate that expenditure types such as accommodation and food & beverage significantly impact Türkiye's tourism revenue and Türkiye's total tourism revenue will not exceed 45 billion dollars by 2027. This study provides a valuable and practical contribution to improving the accuracy and efficiency of methods for managing tourism economics, particularly in European countries where the economy heavily relies on income generated by tourism. Additionally, it fills a gap in studies focused on tourists' expenditure types by combining artificial intelligence and traditional analysis, making it a unique piece of research.

Artificial intelligence-based large language models and integrity of exams and assignments in higher education: the case of tourism courses

There is an increasing concern regarding the potential misuse of ChatGPT-4 in compromising the integrity of examinations and assignments. This study aims to examine the capabilities of ChatGPT-4 in critical thinking abilities, whether it poses a threat to examinations and assignments in higher education, and create a discussion agenda on this issue. ChatGPT-4 was asked to generate, answer, and criticize questions in tourism marketing, tourism management, tourism economics, tourist guidance, and gastronomy. The answers were evaluated according to universal critical thinking standards. The findings obtained from this study showed that ChatGPT-4 had commendable competence in several critical thinking standards and could produce human-like texts. However, there are certain domains that might be improved to comply more effectively with the expectations and norms of academia. Educators were recommended to use comprehensive approaches that combine technological and educational techniques to address the issue of cheating enabled by tools, such as ChatGPT-4, during assessment and exam processes.

WAYS TO IMPROVE TOURISM ECONOMY DEVELOPMENT

Tourism economics is a science that studies and analyzes the economic relations that arise in the process of production, distribution and consumption of tourist products and services designed to satisfy the needs and desires of travelers. Modern scientific research considers tourism as a complex socio-economic system that provides material and non-material needs of people, providing services through a complete and rational vacation. The purpose of the study: to develop theoretical and methodological rules for improving the financial potential of tourist organizations in the regions to realize their development potential. Tourism is a branch of economy that supplements the budget of many countries of the world. The developed methods can be used as practical recommendations in the development and implementation of the tourism complex described in the article, to assess its socio-economic importance. The article considerssome issues of financial indicators of tourism economy development.

The Czech Republic and Austrian Tourism in Scope of German Visitors

Tourism demand modelling is one of the most studied areas in tourism economics, particularly focused on time series and econometric research. In this study, directly interpretable one-equation techniques are utilised, i.e. the autoregressive distributed lag model (ADLM) and the derived error correction model (ECM). To complement the sharing of information and habits in tourism, we apply regressors derived from wages, general prices, and dummies. For the Czech and Austrian data, short- as well as long-run sets of outputs act differently, regarding the specific situation. Such information can straightforwardly be applied to the effective planning of various activities covering the public and private sectors. The results are completed by the standard cointegration testing procedure and residual analysis.

Local Officials and Regional Tourism Economies

This study adopts the paradigm of upper echelons theory (UET) and establishes a novel dataset covering the main characteristics of prefecture-level party secretaries in southwest China to investigate the association between local top officials' traits and regional tourism economies. Empirical results show that a party secretary's education and work experience significantly influence the development of regional tourism economies, and in most cases these influences are positive. These effects vary as the level of regional economic development and the quality of tourism resources change. These effects may be different for autonomous regions (for ethnic minorities) and nonautonomous regions. We find an inverted U-shaped relationship between the age of party secretaries and the performance of tourism economies. As an initial effort to identify the impact of regional officials, this study contributes to tourism economics and provides valuable implications for regional tourism development.

Editorial

The Journal Scientific Research World Economy EconConnections - Professionals On Line, plays an essential role as the main platform for the dissemination of theoretical and empirical research in a wide range of disciplines within the field of economics and related areas. Enveloping a wide range of topics, it stands as the primary channel for the exploration of general economic theory, political economy, business economics, industrial economics, labor economics, urban and rural economics, development economics, technological economics, tourism economics, transportation economics, macroeconomics, microeconomics, quantitative economics, resources and environmental economics, economic history and demography, as well as international trade, exchange rates, finance , accounting and insurance.

Tourism development and urban housing prices: Evidence from China

Tourism as a nontradable sector affects regional price indexes. However, the effect of tourism on urban housing prices has not been sufficiently studied. This study uses panel data for prefecture-level cities in China to empirically examine the effect of tourism development on urban housing prices. The findings indicate that tourism development can increase urban housing prices, and the effect mainly comes from domestic tourism. This conclusion is not only derived from the instrumental variable method considering endogenous problems but also verified by multiple robust methods including quantile regression. Meanwhile, the study innovatively identifies the mediating role of investment effect, income effect, and public service effect in the impact of tourism on urban housing prices. It further shows the heterogeneity of cities, with more significant effect of tourism on urban housing price in small- and medium-sized cities, noncentral cities, central and western cities, and nontourist cities. This study reveals the commonality and particularity of the impact of tourism development on urban housing price. It not only enriches the research on tourism economics from the perspectives of the relationship between tourism and real estate but also further enriches the relevant conclusions and theoretical mechanism of the impact of tourism on housing prices.

Determinants of Tourism Demand in Context of Environmental Quality

Tourism is a sector that contributes to the economic development of both developed and developing countries, and with this structure, it contains the environmental, social, and economic dimensions of sustainable development. This study aims to estimate the effects of environmental quality and other determinants on international tourism demand. Within the scope of the 2008–2017 period, the tourism demand from 27 different countries to the top 10 countries that attract the most tourists worldwide was examined using the multidimensional panel gravity model. The effects of environmental, economic, and non-economic indicators on tourism demand were investigated using Poisson pseudo-maximum likelihood (PPML) estimation methods. The findings showed that the low environmental quality significantly reduces tourism demand. In addition, tourist income, common language, and common border had positive effects on tourism demand, while distance, relative price, and visa restrictions had negative effects. This study offers recommendations for policymakers and other stakeholders and contributes to the literature on tourism economics and the environment.