Tourism Specialization, Absorptive Capacity, and Economic Growth.pdf (533.59 kB)
Download file

Tourism Specialization, Absorptive Capacity, and Economic Growth

Download (533.59 kB)
journal contribution
posted on 22.02.2022, 12:17 by Glauco De Vita, Kyaw, Sandy
This article investigates the relationship between tourism specialization and economic growth while accounting for the absorptive capacity of host (tourism destination) countries, defined in terms of financial system development. We use the system generalized methods-of-moments (SYS-GMM) estimation methodology to investigate this relationship for 129 countries over the period 1995–2011. The results support the hypothesis that the positive effect of tourism specialization on growth is contingent on the level of economic development as well as the financial system absorptive capacity of recipient economies. Consistent with the law of diminishing returns, we also find that for countries with a developed financial system, at exponential levels of tourism specialization, its effect on growth turns negative. Significant policy implications flow from these findings.

History

Published in

Journal of Travel Research

Publisher

Sage

Version

AM (Accepted Manuscript)

Citation

De Vita, G. and Kyaw, K.S. (2017) 'Tourism specialization, absorptive capacity, and economic growth', Journal of Travel Research, 56(4), pp.423-435

Print ISSN

0047-2875

Electronic ISSN

1552-6763

Cardiff Met Affiliation

  • Cardiff School of Management

Cardiff Met Authors

Sandy Kyaw

Cardiff Met Research Centre/Group

  • WCTR (Welsh Centre for Tourism Research)

Copyright Holder

© The Publisher