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Do wildfires burn tourism intentions? The case of Portugal

Author

Listed:
  • João Cerejeira

    (NIPE/Center for Research in Economics and Management, University of Minho, Portugal; and CIPES – Centre for Research in Higher Education Policies)

  • Rita Sousa

    (NIPE/Center for Research in Economics and Management, University of Minho, Portugal)

  • Carolina Bernardo

    (University of Minho, Portugal)

  • António Bento-Gonçalves

    (CECS – Communication and Society Research Centre, University of Minho)

Abstract

Fire intensity and size incite visitation decrease and recreational losses, relevant tourism variables for European economies. As a result of climate change, this reality is becoming more evident. Due to significant gaps in analyzing the relationship between wildfires and tourism demand, this paper aims to explain how tourism demand reacts to wildfires in Portugal. We use a novel approach in these studies and estimate a spatial econometric model to analyze the relationship between total burned areas and overnight stays in a touristic establishment in a given municipality and its neighbouring municipalities. Our results show that wildfires negatively affect the overnight stays in the same location but also cause spillover effects in neighbouring municipalities. Also, the wildfire occurrences are positively related to the number of overnight stays after three months, suggesting a delay in tourism activities.

Suggested Citation

  • João Cerejeira & Rita Sousa & Carolina Bernardo & António Bento-Gonçalves, 2023. "Do wildfires burn tourism intentions? The case of Portugal," NIPE Working Papers 01/2023, NIPE - Universidade do Minho.
  • Handle: RePEc:nip:nipewp:01/2023
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    File URL: http://repositorium.sdum.uminho.pt/handle/1822/81804
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    More about this item

    Keywords

    tourism; wildfires; spatial econometrics;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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