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Revisiting the Tourism-Led-Growth Hypothesis - Fresh Evidence From the World’s Top Ten Tourist Destinations

Author

Listed:
  • Isiaka Akande Raifu
  • Joshua Adeyemi Afolabi

    (Department of Economics, University of Ibadan, Nigeria)

Abstract

This study examines whether structural breaks matter in the tourism-growth nexus. We estimated annual and quarterly data for the world’s top 10 tourism destinations between 1995 and 2020 using the structural break, Fixed Effects and Feasible Generalised Least Square (FGLS) approaches. This study provides evidence of structural fractures in the relationship between tourism (in the lead) and economic growth.

Suggested Citation

  • Isiaka Akande Raifu & Joshua Adeyemi Afolabi, 2024. "Revisiting the Tourism-Led-Growth Hypothesis - Fresh Evidence From the World’s Top Ten Tourist Destinations," Asian Economics Letters, Asia-Pacific Applied Economics Association, vol. 5(1), pages 1-5.
    • Handle: RePEc:ayb:jrnael:104
    DOI: 2024/07/01
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    References listed on IDEAS

    as
    1. Jan Ditzen & Yiannis Karavias & Joakim Westerlund, 2025. "Testing and estimating structural breaks in time series and panel data in Stata," Stata Journal, StataCorp LLC, vol. 25(3), pages 526-560, September.
    2. Juan Gabriel Brida & Isabel Cortes-Jimenez & Manuela Pulina, 2016. "Has the tourism-led growth hypothesis been validated? A literature review," Current Issues in Tourism, Taylor & Francis Journals, vol. 19(5), pages 394-430, April.
    3. Nino Fonseca & Marcelino Sánchez-Rivero, 2020. "Significance bias in the tourism-led growth literature," Tourism Economics, , vol. 26(1), pages 137-154, February.
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    More about this item

    Keywords

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    JEL classification:

    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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