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Analysing the Rate of Technical Change in the Portuguese Hotel Industry

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  • Carlos Pestana Barros

    (Instituto de Economia e Gestao, Technical University of Lisbon, Rua Miguel Lupi 20, 1249-078 Lisbon, Portugal)

Abstract

This paper analyses the rate of technical progress in the Portuguese hotel industry between 1998 and 2002, using a stochastic cost frontier method. A translog frontier model is used and the maximum likelihood estimation technique is employed to estimate the empirical model. We estimate the efficiency scores and disentangle the rate of technical progress into three components: pure technical progress, non-neutral technical progress and scale-augmenting technical progress. The results show relatively low efficiency scores, denoting a high degree of waste in the use of resources, despite the fact that technical change contributes to a reduction of costs.

Suggested Citation

  • Carlos Pestana Barros, 2006. "Analysing the Rate of Technical Change in the Portuguese Hotel Industry," Tourism Economics, , vol. 12(3), pages 325-346, September.
    • Handle: RePEc:sae:toueco:v:12:y:2006:i:3:p:325-346
    DOI: 10.5367/000000006778493673
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    References listed on IDEAS

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    Cited by:

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    3. A. George Assaf & Ljubica Knezevic Cvelbar, 2015. "Why Negative Outputs are Often Ignored: A Comprehensive Measure of Hotel Performance," Tourism Economics, , vol. 21(4), pages 761-773, August.
    4. João Ricardo Faria, 2008. "Demographic and Technological Growth in the Tourism Market," Tourism Economics, , vol. 14(1), pages 115-121, March.
    5. Federico Inchausti-Sintes & Ubay Pérez-Granja & José Juan Morales-Mohamed, 2021. "Analysing labour productivity and its economic consequences in the two Spanish tourist archipelagos," Tourism Economics, , vol. 27(5), pages 1039-1059, August.
    6. Tsionas, Efthymios G. & George Assaf, A., 2014. "Short-run and long-run performance of international tourism: Evidence from Bayesian dynamic models," Tourism Management, Elsevier, vol. 42(C), pages 22-36.
    7. Zhiliang Liu & Chengpeng Lu & Jinhuang Mao & Dongqi Sun & Hengji Li & Chenyu Lu, 2021. "Spatial–Temporal Heterogeneity and the Related Influencing Factors of Tourism Efficiency in China," Sustainability, MDPI, vol. 13(11), pages 1-19, May.
    8. Ana Sampaio, 2012. "Wine Tourism and Visitors' Perceptions: A Structural Equation Modelling Approach," Tourism Economics, , vol. 18(3), pages 533-553, June.
    9. Fuentes, Ramón, 2011. "Efficiency of travel agencies: A case study of Alicante, Spain," Tourism Management, Elsevier, vol. 32(1), pages 75-87.
    10. Egon Smeral, 2013. "Tourismus 2025: Entwicklungsperspektiven und Strategien für den ländlichen Raum," WIFO Studies, WIFO, number 47070, April.
    11. Luis César Herrero-Prieto & Mafalda Gómez-Vega, 2017. "Cultural resources as a factor in cultural tourism attraction," Tourism Economics, , vol. 23(2), pages 260-280, March.
    12. Assaf, A. George & Tsionas, Mike G., 2019. "A review of research into performance modeling in tourism research - Launching the Annals of Tourism Research curated collection on performance modeling in tourism research," Annals of Tourism Research, Elsevier, vol. 76(C), pages 266-277.
    13. Egon Smeral, 2008. "Das österreichische Beherbergungs- und Gaststättenwesen im regionalen Vergleich," WIFO Studies, WIFO, number 33960, April.

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