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Decomposing the heterogeneous discretionary spending of international visitors to Fjord Norway

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  • Engström, Truls
  • Kipperberg, Gorm

Abstract

This paper provides a comprehensive econometric analysis of the expenditures of international visitors to the Western fjord-region of Norway. The data come from an intercept survey conducted on randomly elicited summer visitors at central tourism locations in the region. Estimations are performed for total group expenditures and personal tourist expenditures. To adjust for potential sampling bias, both un-weighted and weighted regressions techniques are employed. The results identify elasticity measures with respect to length of stay, travel party size, and income, and uncover several other statistically significant and economically important determinants of expenditures. As a novel exploratory feature, the paper also analyzes expenditure shares for different categories of tourism goods and services.

Suggested Citation

  • Engström, Truls & Kipperberg, Gorm, 2015. "Decomposing the heterogeneous discretionary spending of international visitors to Fjord Norway," Tourism Management, Elsevier, vol. 51(C), pages 131-141.
    • Handle: RePEc:eee:touman:v:51:y:2015:i:c:p:131-141
    DOI: 10.1016/j.tourman.2015.05.020
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    References listed on IDEAS

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    1. Thrane, Christer & Farstad, Eivind, 2011. "Domestic tourism expenditures: The non-linear effects of length of stay and travel party size," Tourism Management, Elsevier, vol. 32(1), pages 46-52.
    2. Deaton,Angus & Muellbauer,John, 1980. "Economics and Consumer Behavior," Cambridge Books, Cambridge University Press, number 9780521296762.
    3. Christer Thrane & Eivind Farstad, 2012. "Nationality as a Segmentation Criterion in Tourism Research: The Case of International Tourists' Expenditures While on Trips in Norway," Tourism Economics, , vol. 18(1), pages 203-217, February.
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    5. Elisabeth Kastenholz, 2005. "Analysing Determinants of Visitor Spending for the Rural Tourist Market in North Portugal," Tourism Economics, , vol. 11(4), pages 555-569, December.
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    9. Christer Thrane, 2014. "Modelling Micro-Level Tourism Expenditure: Recommendations on the Choice of Independent Variables, Functional Form and Estimation Technique," Tourism Economics, , vol. 20(1), pages 51-60, February.
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    Cited by:

    1. Andrea Pellegrini & Igor Sarman & Rico Maggi, 2021. "Understanding tourists’ expenditure patterns: a stochastic frontier approach within the framework of multiple discrete–continuous choices," Transportation, Springer, vol. 48(2), pages 931-951, April.

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