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Research Note: Tourism and Economic Growth in Latin American Countries – Further Empirical Evidence

Author

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  • Bichaka Fayissa

    (Department of Economics and Finance, Middle Tennessee State University, Murfreesboro, TN 37132, USA)

  • Christian Nsiah

    (Department of Accounting and Economics, Black Hills State University, Spearfish, SD 57799, USA)

  • Bedassa Tadesse

    (Department of Economics, University of Minnesota-Duluth, 1318 Kirby Drive, Duluth, MN 55812, USA)

Abstract

Using panel data that span from 1990 to 2005, the authors investigate the impact of tourism on the economic growth of 18 heterogeneous Latin American countries within the framework of the conventional neoclassical growth model. Results from the empirical models show that revenues from the tourism industry contribute positively to both the current level and the growth rate of the per capita GDP of the countries in the region, as do investments in physical and human capital. The findings imply that Latin American economies may enhance their economic growth in the short run by strengthening their tourism industries strategically, while not neglecting the traditional sources of economic growth.

Suggested Citation

  • Bichaka Fayissa & Christian Nsiah & Bedassa Tadesse, 2011. "Research Note: Tourism and Economic Growth in Latin American Countries – Further Empirical Evidence," Tourism Economics, , vol. 17(6), pages 1365-1373, December.
    • Handle: RePEc:sae:toueco:v:17:y:2011:i:6:p:1365-1373
    DOI: 10.5367/te.2011.0095
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    References listed on IDEAS

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    Cited by:

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    8. Naqib Ullah Khan & Wajid Alim & Abida Begum & Heesup Han & Abdullah Mohamed, 2022. "Examining Factors That Influence the International Tourism in Pakistan and Its Nexus with Economic Growth: Evidence from ARDL Approach," Sustainability, MDPI, vol. 14(15), pages 1-15, August.
    9. Azmat Gani, 2022. "Using a consumer choice model to explain the effect of the newly developed oxford COVID-19 government stringency measure on hotel occupancy rates," Quality & Quantity: International Journal of Methodology, Springer, vol. 56(6), pages 4313-4333, December.
    10. Mina Dragouni & George Filis & Nikolaos Antonakakis, 2013. "Time-Varying Interdependencies of Tourism and Economic Growth: Evidence from European Countries," FIW Working Paper series 128, FIW.
    11. Azmat Gani & Michael D. Clemes, 2017. "The main determinants effecting international visitor arrivals in New Zealand," Tourism Economics, , vol. 23(5), pages 921-940, August.
    12. Abdul Rauf & Ameer Muhammad Aamir Abbas & Asim Rafiq & Saifullah Shakir & Saira Abid, 2022. "The Impact of Political Instability, Food Prices, and Crime Rate on Tourism: A Way toward Sustainable Tourism in Pakistan," Sustainability, MDPI, vol. 14(24), pages 1-17, December.
    13. Yixing Yang & Md. Qamruzzaman & Mohd Ziaur Rehman & Salma Karim, 2021. "Do Tourism and Institutional Quality Asymmetrically Effects on FDI Sustainability in BIMSTEC Countries: An Application of ARDL, CS-ARDL, NARDL, and Asymmetric Causality Test," Sustainability, MDPI, vol. 13(17), pages 1-29, September.
    14. Naradda Gamage, Sisira Kumara & Kumudumali, S. H. T. & Otamurodov, Shavkat, 2020. "The Nexus between Tourism and Economic Growth: A Systematic Literature Review and Future Research Directions," MPRA Paper 104086, University Library of Munich, Germany.
    15. Alam, Md. Samsul & Paramati, Sudharshan Reddy, 2017. "The dynamic role of tourism investment on tourism development and CO2 emissions," Annals of Tourism Research, Elsevier, vol. 66(C), pages 213-215.
    16. Long-Fei Chen, 2013. "Research Note: A Sustainable Hypothesis for Tourist Hotels: Evidence from International Hotel Chains," Tourism Economics, , vol. 19(6), pages 1449-1460, December.
    17. Theodore Panagiotidis & Maurizio Mussoni & Georgios Voucharas, 2023. "How Important is Tourism for Growth?," Working Paper series 23-13, Rimini Centre for Economic Analysis.
    18. Chatziantoniou, Ioannis & Filis, George & Eeckels, Bruno & Apostolakis, Alexandros, 2013. "Oil prices, tourism income and economic growth: A structural VAR approach for European Mediterranean countries," Tourism Management, Elsevier, vol. 36(C), pages 331-341.
    19. Rui Zhang & Yuqin Sun & Jiecao Jiang, 2023. "Factors Influencing the Spatial Spillovers of the Interprovincial Tourism Economy Based on Three-dimensional Distance: Evidence From China," SAGE Open, , vol. 13(3), pages 21582440231, August.
    20. Irina Klytchnikova & Paul Dorosh, 2013. "Tourism sector in Panama: Regional economic impacts and the potential to benefit the poor," Natural Resources Forum, Blackwell Publishing, vol. 37(2), pages 70-79, May.

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