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Corporate Agility: The Impact Of Inflation On Tourism Revenues In The Turkish Economy

Author

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  • Mine Genç

    (ISTANBUL UNIVERSITY)

Abstract

Tourism sector is one of the sectors that interacts with economic factors like GDP, export, import, exchange rate in economic and social life. Inflation is the most significant economic factor because of the fact that which affects sustainability of financial management of most of the sectors in terms of increase the prices of goods and services. The aim of the research is to examine the effect of inflation on tourism revenues in the conjuncture where inflation volatility increases. Vector Autoregressive Model (VAR) method has been used because both series are stationary at level. Impulse-response function shocks for series affect positively both first month and fade in effects in the remaining months. Variance decomposition shows that total change in tourism revenue is explained in the first 10 months by itself and also %73 change in inflation in the first 10 month is explained by itself and 27% is explained by tourism revenues. Also, there is one-way causality from inflation to tourism revenues according to the VAR short term analysis.

Suggested Citation

  • Mine Genç, 2025. "Corporate Agility: The Impact Of Inflation On Tourism Revenues In The Turkish Economy," Ekonomi Maliye Isletme Dergisi, Adil AKINCI, vol. 8(2), pages 125-137, December.
    • Handle: RePEc:gnx:emid43:2025-8-2-1586371
    DOI: 10.46737/emid.1586371
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    Keywords

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    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E37 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Forecasting and Simulation: Models and Applications
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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