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Terrorism and the Regional and Religious Risk Perception of Foreigners: The Case of German Tourists

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Author Info

  • Gabriel Ahlfeldt

    ()
    (Chair for Economic Policy, University of Hamburg)

  • Bastian Franke
  • Wolfgang Maennig

    ()
    (Chair for Economic Policy, University of Hamburg)

Abstract

This paper analyses how German tourists react to unanticipated shocks that alter their risk perception of selected tourism destinations. Using a difference-in-difference strategy which flexibly accounts for macroeconomic conditions and also addresses potential problems of serial correlation, we isolate significant effects of the 9/11 (2001) terrorist attacks, as well as for the attacks in Egypt (1997), Tunisia (2002), Morocco (2003) and Indonesia (2003). These terror attacks impacted especially on Islamic countries all over the world, indicating a transmission mechanism driven by ethnic and religious proximity. At the same time, tourism into Islamic countries was temporarily substituted by tourism to (south) European countries.

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File URL: http://www.hced.uni-hamburg.de/WorkingPapers/024.pdf
File Function: First version, 2009
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Bibliographic Info

Paper provided by Chair for Economic Policy, University of Hamburg in its series Working Papers with number 024.

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Length: 22 pages
Date of creation: 2009
Date of revision:
Publication status: Published in Hamburg Contemporary Economic Discussions, Issue 24, 2009
Handle: RePEc:hce:wpaper:024

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Related research

Keywords: Terrorism; 9/11; Islamic Countries; Tourism Demand;

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References

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  1. Arne Feddersen, 2006. "Economic Consequences of the UEFA Champions League for National Championships - The Case of Germany," Working Papers 0012006, Chair for Economic Policy, University of Hamburg.
  2. Arne Feddersen & Wolfgang Maennig, 2005. "Trends in Competitive Balance: Is there Evidence for Growing Imbalance in Professional Sport Leagues?," Working Papers 0012005, Chair for Economic Policy, University of Hamburg.
  3. Wolfgang Maennig & Florian Schwarthoff, 2008. "Stadium Architecture and Regional Economic Development: International Experience and the Plans of Durban," Working Papers 0816, International Association of Sports Economists & North American Association of Sports Economists.
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Cited by:
  1. Justina A.V. Fischer & Alfonso Sousa-Poza, 2010. "The Impact of Institutions on Firms’ Rejuvenation Policies: Early Retirement with Severance Pay versus Simple Lay-Off. A Cross-European Analysis," Working Papers 034, Chair for Economic Policy, University of Hamburg.
  2. Torberg Falch & Justina A.V. Fischer, 2010. "Public Sector Decentralization and School Performance: International Evidence," Working Papers 031, Chair for Economic Policy, University of Hamburg.

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