Analyzing the Effects of Amenities, Quality of Life Attributes and Tourism on Regional Economic Performance using Regression Quantiles
Conventional wisdom argues that tourist expenditures and recreation activities generate demands for traded goods and services, and create jobs and income for local residents in counties endowed with rich natural amenities. However, more recent studies have suggested that regions with high levels of amenities can experience lower wages and higher unemployment because amenities are capitalized into wages and rents in a manner that can hinder economic growth. Attempting to estimate the impact of tourism and retirement activities on the local economy, a few studies have performed multiple least squares regression analysis to discount activities generated by both local residents and nonresidents who travel for purposes other than tourism. However, the least square regression provides nothing more than an estimate of the average of the response (dependent) variable conditioned on the covariates (independent variables). In almost all regression settings with the exception of the rather naive constant- error-variance setup, the upper and lower quantiles (percentiles) often depend on the covariates quite differently from the mean or the median response. Investigating quantiles other than the mean or median using quantile regression analysis, we have found interesting dependency effects that cannot be discovered otherwise. The results of this analysis provide crucial information to policy makers while discussing public policy effectiveness in natural resource management and community development. If policy is to rely on the structural shift that is taking place in rural America, we need a better understanding on how amenities, quality of life attributes, and tourism affect regional economic performance.
Volume (Year): 35 (2005)
Issue (Month): 1 ()
|Contact details of provider:|| Web page: http://jrap-journal.org/index.htm|
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Roback, Jennifer, 1982. "Wages, Rents, and the Quality of Life," Journal of Political Economy, University of Chicago Press, vol. 90(6), pages 1257-78, December.
- John E. Wagner & Steven C. Deller, 1998. "Measuring the Effects of Economic Diversity on Growth and Stability," Land Economics, University of Wisconsin Press, vol. 74(4), pages 541-556.
- Paul D. Gottlieb, 1994. "Amenities as an Economic Development Tool: Is there Enough Evidence?," Economic Development Quarterly, , vol. 8(3), pages 270-285, August.
- Steven C. Deller & Tsung-Hsiu (Sue) Tsai & David W. Marcouiller & Donald B.K. English, 2001. "The Role of Amenities and Quality of Life In Rural Economic Growth," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(2), pages 352-365.
- Blanchflower, D. & Oswald, A., 1989.
"The Wage Curve,"
340, London School of Economics - Centre for Labour Economics.
- Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
- John C. Leatherman & David W. Marcouiller, 1996. "Estimating Tourism's Share Of Local Income From Secondary Data Sources," The Review of Regional Studies, Southern Regional Science Association, vol. 26(3), pages 317-339, Winter.
- Roback, Jennifer, 1988. "Wages, Rents, and Amenities: Differences among Workers and Regions," Economic Inquiry, Western Economic Association International, vol. 26(1), pages 23-41, January.
- Deller, Steven C. & Tsai, Tsung-Hsiu (Sue), 1998. "An Examination of the Wage Curve: A Research Note," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 28(2).
When requesting a correction, please mention this item's handle: RePEc:ags:jrapmc:132298. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.