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The Effect of Terrorism on Tourism Demand in the Middle East

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  • Bassil Charbel

    (Notre Dame University – Louaize, P.O. Box 72 Zouk Mikael, Lebanon)

Abstract

This paper uses a seemingly unrelated regression model (SUR) to test the individual effects of domestic and transnational terrorism on tourism demand to Lebanon, Turkey and Israel over the period 1995–2007. Tourism demand is measured by the logarithm of the number of arrivals to each country. Moreover, this paper tests whether tourism depends on the magnitude of the terrorist attacks by disaggregating terrorism into three levels of intensity – low, medium and high. The results show significant own and spillover effects for domestic and transnational terrorism on tourism demand to each of the three selected countries. In addition, the results show that the effect of terrorism on tourism depends on the intensities of the terrorist attacks.

Suggested Citation

  • Bassil Charbel, 2014. "The Effect of Terrorism on Tourism Demand in the Middle East," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 20(4), pages 1-16, December.
  • Handle: RePEc:bpj:pepspp:v:20:y:2014:i:4:p:16:n:7
    DOI: 10.1515/peps-2014-0032
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    References listed on IDEAS

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    1. Eric Neumayer, 2004. "The Impact of Political Violence on Tourism," Journal of Conflict Resolution, Peace Science Society (International), vol. 48(2), pages 259-281, April.
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    Cited by:

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    2. Nowak, Anna, 2018. "You failed! Government satisfaction and party preferences facing Islamist terrorism," CIW Discussion Papers 6/2018, University of Münster, Center for Interdisciplinary Economics (CIW).
    3. Jamil Shah & Zilakat Khan Malik & Umar Hayat, 2020. "The Dynamic Effects of Terrorism on Tourism: A Bound Testing Co-Integration Approach," IBT Journal of Business Studies (JBS), Ilma University, Faculty of Management Science, vol. 16(1), pages 44-57.
    4. Rufei Zhang & Haizhen Zhang & Qingzhu Fan & Wang Gao & Xue Luo & Shixiong Yang, 2022. "Partisan Conflict, National Security Policy Uncertainty and Tourism," Sustainability, MDPI, vol. 14(17), pages 1-22, August.
    5. Maja Nikšić Radić & Daniel Dragičević & Marina Barkiđija Sotošek, 2019. "Causality between Terrorism and FDI in Tourism: Evidence from Panel Data," Economies, MDPI, vol. 7(2), pages 1-19, May.
    6. Jamil Shah & Zilakat Khan Malik & Umar Hayat, 2020. "The Dynamic Effects of Terrorism on Tourism: A Bound Testing Co-Integration Approach," IBT Journal of Business Studies (JBS), Ilma University, Faculty of Management Science, vol. 16(1), pages 16-14.
    7. Corbet, Shaen & O’Connell, John F. & Efthymiou, Marina & Guiomard, Cathal & Lucey, Brian, 2019. "The impact of terrorism on European tourism," Annals of Tourism Research, Elsevier, vol. 75(C), pages 1-17.
    8. Seabra, Claudia & Reis, Pedro & Abrantes, José Luís, 2020. "The influence of terrorism in tourism arrivals: A longitudinal approach in a Mediterranean country," Annals of Tourism Research, Elsevier, vol. 80(C).
    9. Ahmed Muhamad Omer & Mehmet Yeşiltaş, 2020. "“Modeling the impact of wars and terrorism on tourism demand in Kurdistan region of Iraq”," Portuguese Economic Journal, Springer;Instituto Superior de Economia e Gestao, vol. 19(3), pages 301-322, September.
    10. Ali Asgary & Ali Ihsan Ozdemir, 2020. "Global risks and tourism industry in Turkey," Quality & Quantity: International Journal of Methodology, Springer, vol. 54(5), pages 1513-1536, December.

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