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Does the Confucius Institute Impact International Travel to China? A Panel Data Analysis

Author

Listed:
  • Donald Lien

    (UTSA)

  • Sucharita Ghosh
  • Steven Yamarik

Abstract

This paper examines the impact of Confucius Institutes on inbound travel to China. We estimate a panel gravity model of inbound tourism flows to China between 2004 and 2010. Pooled least squares estimates show that a Confucius Institute increases overall inbound tourism as well as business tourists and worker tourists. After controlling for unobserved country effects and endogeneity using random effects and Hausman-Taylor estimators, we find that the presence of a Confucius Institute continues to have a positive impact on the worker travel flows.

Suggested Citation

  • Donald Lien & Sucharita Ghosh & Steven Yamarik, 2013. "Does the Confucius Institute Impact International Travel to China? A Panel Data Analysis," Working Papers 0188fin, College of Business, University of Texas at San Antonio.
    • Handle: RePEc:tsa:wpaper:0188fin
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    Cited by:

    1. Akhtaruzzaman, Muhammad & Berg, Nathan & Lien, Donald, 2017. "Confucius Institutes and FDI flows from China to Africa," China Economic Review, Elsevier, vol. 44(C), pages 241-252.
    2. Steven Yamarik & Mariya Mileva, 2023. "Cultural institutes: Networks and determinants," The World Economy, Wiley Blackwell, vol. 46(4), pages 1119-1143, April.
    3. Wang, Hao & Han, Yonghui & Fidrmuc, Jan & Wei, Dongming, 2021. "Confucius Institute, Belt and Road Initiative, and Internationalization," International Review of Economics & Finance, Elsevier, vol. 71(C), pages 237-256.
    4. Sucharita Ghosh & Donald Lien & Steven Yamarik, 2017. "Does the Confucius Institute Network Impact Cultural Distance? A Panel Data Analysis of Cross-Border Flows in and out of China," Asian Economic Journal, East Asian Economic Association, vol. 31(3), pages 299-323, September.
    5. Firat Demir & Hyeonjin Im, 2020. "Effects of cultural institutes on bilateral trade and FDI flows: Cultural diplomacy or economic altruism?," The World Economy, Wiley Blackwell, vol. 43(9), pages 2463-2489, September.
    6. Huiling Wang & Junmin Xi, 2016. "The Determinant of Inbound Tourism in China," International Journal of Business and Management, Canadian Center of Science and Education, vol. 11(2), pages 205-205, January.
    7. Lien, Donald & Lo, Melody, 2017. "Economic impacts of cultural institutes," The Quarterly Review of Economics and Finance, Elsevier, vol. 64(C), pages 12-21.
    8. Shanshan Ouyang & Yanxi Li, 2019. "Confucius Institute and the Completion of Chinese Cross-Border Acquisitions," Sustainability, MDPI, vol. 11(18), pages 1-22, September.
    9. Jaume Rosselló Nadal & María Santana Gallego, 2022. "Gravity models for tourism demand modeling: Empirical review and outlook," Journal of Economic Surveys, Wiley Blackwell, vol. 36(5), pages 1358-1409, December.

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    More about this item

    Keywords

    International tourism; Confucius Institute; China;
    All these keywords.

    JEL classification:

    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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