We analyze whether biodiversity is increasing the receipts of tourism and beneficial for Least Developed Countries (LDCs). The underlying assumption is that a rich biodiversity provides a comparative advantage for most LDCs. We use a simple trade theory framework. The model is supported by an empirical analysis. The main findings are that first LDCs seem to have a comparative advantage in (sustainable) tourism, that second incidence of birds as the probably best explored taxonomic group has a positive impact on inbound tourism receipts per capita, and that third the rate of endangered to total birds is negatively influencing tourism receipts.
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Paper provided by Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics, Thueringer Universitaets- und Landesbibliothek in its series Jena Economic Research Papers in Economics with number
2007-012.