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Limits to growth: Tourism and regional labor migration

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  • Konan, Denise Eby

Abstract

The paper provides a methodology for considering the carrying capacity and limits to growth of a labor-constrained mature tourism destination. A computable general equilibrium model is used to examine the impacts of visitor expenditure growth and labor migration on Hawai‘i's economy. Impacts on regional income, welfare, prices, sector-level output, and gross state product are considered under alternative migration scenarios. Labor market constraints impose limits to growth in real visitor expenditures. Labor market growth with constrained visitor demand generates falling per capita household welfare.

Suggested Citation

  • Konan, Denise Eby, 2011. "Limits to growth: Tourism and regional labor migration," Economic Modelling, Elsevier, vol. 28(1), pages 473-481.
  • Handle: RePEc:eee:ecmode:v:28:y:2011:i:1:p:473-481
    DOI: 10.1016/j.econmod.2010.08.001
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    References listed on IDEAS

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    1. Harvey Cutler & Stephen Davies, 2007. "The Impact Of Specific-Sector Changes In Employment On Economic Growth, Labor Market Performance And Migration," Journal of Regional Science, Wiley Blackwell, vol. 47(5), pages 935-963.
    2. Chan, Nguyen & Dung, Tran Kim & Ghosh, Madanmohan & Whalley, John, 2005. "Adjustment costs in labour markets and the distributional effects of trade liberalization: Analytics and calculations for Vietnam," Journal of Policy Modeling, Elsevier, vol. 27(9), pages 1009-1024, December.
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    Cited by:

    1. Sun, Ruoyan, 2013. "Kinetics of jobs in multi-link cities with migration-driven aggregation process," Economic Modelling, Elsevier, vol. 30(C), pages 36-41.

    More about this item

    Keywords

    Computable general equilibrium model; Tourism; Migration; Hawai‘i;

    JEL classification:

    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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