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The effectiveness of the legal system and inbound tourism

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  • Gozgor, Giray
  • Lau, Chi Keung Marco
  • Zeng, Yan
  • Lin, Zhibin

Abstract

This paper investigates the impacts of the effectiveness of the legal system and protection of the property rights on tourism development using a panel data of 152 countries over the period 1995–2015. The paper considers the fixed-effects, Hausman–Taylor (HT), and system generalized method of moments (GMM) estimations and the results demonstrate that a higher level of legal system quality and better protection of property rights promote inbound tourism. Specifically, the results show that higher judicial independence and better enforcement of contracts enhance the development of tourism. The benchmark results are robust to focus on the different groups of countries and measures for tourism development as well as to exclude the outlier observations.

Suggested Citation

  • Gozgor, Giray & Lau, Chi Keung Marco & Zeng, Yan & Lin, Zhibin, 2019. "The effectiveness of the legal system and inbound tourism," Annals of Tourism Research, Elsevier, vol. 76(C), pages 24-35.
    • Handle: RePEc:eee:anture:v:76:y:2019:i:c:p:24-35
    DOI: 10.1016/j.annals.2019.03.003
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    Cited by:

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    3. Jiayu Kang & Xuejun Duan & Wei Yan & Zhiyuan Ma, 2022. "Spatial Differentiation and Impact Factors of Tourism Development: A Case Study of the Central Plains, China," Sustainability, MDPI, vol. 14(12), pages 1-14, June.
    4. Zhou Lu & Haiwei Li & Chi Keung Marco Lau & Aliyu Buhari Isah, 2021. "Preferences and Tourism Development under Uncertainty: An Empirical Study," Sustainability, MDPI, vol. 13(5), pages 1-9, February.
    5. Muhammad Athar Nadeem & Zhiying Liu & Yi Xu & Kishwar Nawaz & Muhammad Yousaf Malik & Amna Younis, 2020. "Impacts of terrorism, governance structure, military expenditures and infrastructures upon tourism: empirical evidence from an emerging economy," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 10(1), pages 185-206, March.
    6. Claudio Detotto & Sauveur Giannoni & Claire Goavec, 2017. "Does good governance attract tourists?," Working Papers 002, Laboratoire Lieux, Identités, eSpaces et Activités (LISA).
    7. Konstantakopoulou, Ioanna, 2022. "Does health quality affect tourism? Evidence from system GMM estimates," Economic Analysis and Policy, Elsevier, vol. 73(C), pages 425-440.
    8. Muhammad Asif Khan & József Popp & Mirza Nouman Ali Talib & Zoltán Lakner & Muhammad Atif Khan & Judit Oláh, 2020. "Asymmetric Impact of Institutional Quality on Tourism Inflows Among Selected Asian Pacific Countries," Sustainability, MDPI, vol. 12(3), pages 1-16, February.
    9. Heping Huang & Wei Zhong & Qingsheng Lai & Yishu Qiu & Hong Jiang, 2020. "The Spatial Distribution, Influencing Factors, and Development Path of Inbound Tourism in China—An Empirical Analysis of Market Segments Based on Travel Motivation," Sustainability, MDPI, vol. 12(6), pages 1-15, March.

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