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The Contribution of Sustainable Tourism to Economic Growth and Employment in Pakistan

Author

Listed:
  • Faiza Manzoor

    (Department of Agricultural Economics and Management, School of Management, ZhejiangUniversity, Hangzhou 310029, China)

  • Longbao Wei

    (Department of Agricultural Economics and Management, School of Management, ZhejiangUniversity, Hangzhou 310029, China)

  • Muhammad Asif

    (School of Public Affairs, Zijingang Campus, Zhejiang University, Hangzhou 310058, China)

  • Muhammad Zia ul Haq

    (School of Management, Zhejiang University Hangzhou 310029, China)

  • Hafiz ur Rehman

    (Department of Economics, Hazara University Mansehra, 21120, Pakistan)

Abstract

In the global economy, tourism is one of the most noticeable and growing sectors. This sector plays an important role in boosting a nation’s economy. An increase in tourism flow can bring positive economic outcomes to the nations, especially in gross domestic product (GDP) and employment opportunities. In South Asian countries, the tourism industry is an engine of economic development and GDP growth. This study investigates the impact of tourism on Pakistan’s economic growth and employment. The period under study was from 1990 to 2015. To check whether the variables under study were stationary, augmented Dickey–Fuller and Phillips–Perron unit root tests were applied. A regression technique and Johansen cointegration approach were employed for the analysis of data. The key finding of this study shows that there is a positive and significant impact of tourism on Pakistan’s economic growth as well as employment sector and there is also a long‐run relationship among the variables under study. This study suggests that legislators should focus on the policies with special emphasis on the promotion of tourism due to its great potential throughout the country. Policy implications of this recent study and future research suggestions are also mentioned.

Suggested Citation

  • Faiza Manzoor & Longbao Wei & Muhammad Asif & Muhammad Zia ul Haq & Hafiz ur Rehman, 2019. "The Contribution of Sustainable Tourism to Economic Growth and Employment in Pakistan," IJERPH, MDPI, vol. 16(19), pages 1-14, October.
  • Handle: RePEc:gam:jijerp:v:16:y:2019:i:19:p:3785-:d:274292
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