IDEAS home Printed from https://ideas.repec.org/a/ris/asbure/0184.html
   My bibliography  Save this article

Covid-19 and Sustainable Tourism: Macroeconomic Effect and Policy Comparison among Europe, the USA and China

Author

Listed:
  • Islam, Mohammad Monirul

    (Dhaka University)

  • Fatema, Farha

    (Dhaka University)

Abstract

This study examines the potential macroeconomic effects of Covid-19 on the tourism sector of Europe, the USA, and China as well as provides policy suggestions in light of previous scholarly works. The study finds that the global tourism sector is geocentric and the tourism sector of EU countries is interdependent. The study also finds strong domestic tourism in the USA and China whereas domestic tourism in EU countries is not that strong. As domestic tourism is less income-elastic than international tourism countries should promote domestic tourism to recover the loss of this sector from the adverse effect of Covid-19. Although the probable loss of the tourism sector can be estimated with reference to the recent previous global economic crises, the study assumes far-reaching and massive effects of Covid-19 on the tourism sector due to strictly restricted or banned global and domestic travel as well as the unknown duration of the pandemic. The study also finds the similarity of age groups participating in tourism and infected and died by Covid-19. So, combined and comprehensive policies should be formulated to save the international tourism sector from the drastic catastrophe of Covid-19.

Suggested Citation

  • Islam, Mohammad Monirul & Fatema, Farha, 2020. "Covid-19 and Sustainable Tourism: Macroeconomic Effect and Policy Comparison among Europe, the USA and China," Asian Business Review, Asian Business Consortium, vol. 10(1), pages 53-60.
    • Handle: RePEc:ris:asbure:0184
    as

    Download full text from publisher

    File URL: https://abc.us.org/ojs/index.php/abr/article/view/462
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Robert E. Hall & Charles I. Jones, 2007. "The Value of Life and the Rise in Health Spending," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(1), pages 39-72.
    2. Juan Eugenio-Martin & Juan Campos-Soria, 2011. "Income and the substitution pattern between domestic and international tourism demand," Applied Economics, Taylor & Francis Journals, vol. 43(20), pages 2519-2531.
    3. Takeshi Yagihashi & Juan Du, 2015. "Health Care Inflation And Its Implications For Monetary Policy," Economic Inquiry, Western Economic Association International, vol. 53(3), pages 1556-1579, July.
    4. Barua, Suborna, 2020. "Understanding Coronanomics: The economic implications of the coronavirus (COVID-19) pandemic," MPRA Paper 99693, University Library of Munich, Germany.
    5. Cao, Zheng & Li, Gang & Song, Haiyan, 2017. "Modelling the interdependence of tourism demand: The global vector autoregressive approach," Annals of Tourism Research, Elsevier, vol. 67(C), pages 1-13.
    6. Yang, Yang & Zhang, Hongru & Chen, Xiang, 2020. "Coronavirus pandemic and tourism: Dynamic stochastic general equilibrium modeling of infectious disease outbreak," Annals of Tourism Research, Elsevier, vol. 83(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. José Miguel Vegara-Ferri & José María López-Gullón & Irena Valantine & Arturo Díaz Suárez & Salvador Angosto, 2020. "Factors Influencing the Tourist’s Future Intentions in Small-Scale Sports Events," Sustainability, MDPI, vol. 12(19), pages 1-18, October.
    2. Zhixin Zeng & Xiaojun Wang, 2021. "Effects of Domestic Tourism on Urban-Rural Income Inequality: Evidence from China," Sustainability, MDPI, vol. 13(16), pages 1-21, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ani Asoyan & Vahagn Davtyan & Haykaz Igityan & Hasmik Kartashyan & Hovhannes Manukyan, 2020. "Modelling the Effects of a Health Shock on the Armenian Economy," Working Papers 15, Central Bank of the Republic of Armenia, revised Dec 2020.
    2. Yang, Yang & Zhang, Hongru & Chen, Xiang, 2020. "Coronavirus pandemic and tourism: Dynamic stochastic general equilibrium modeling of infectious disease outbreak," Annals of Tourism Research, Elsevier, vol. 83(C).
    3. Ani Asoyan & Vahagn Davtyan & Haykaz Igityan & Hasmik Kartashyan & Hovhannes Manukyan, 2020. "Modelling the Effects of a Health Shock on the Armenian Economy," Russian Journal of Money and Finance, Bank of Russia, vol. 79(4), pages 18-44, December.
    4. Gonzalez-Eiras, Martín & Niepelt, Dirk, 2012. "Ageing, government budgets, retirement, and growth," European Economic Review, Elsevier, vol. 56(1), pages 97-115.
    5. Patricia Apps & Ray Rees, 2007. "Population Ageing, Taxation, pensions and Health Costs," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 10(2), pages 79-97.
    6. Ho, Sy-Hoa & OUEGHLISSI, Rim & EL FERKTAJI, Riadh, 2019. "The dynamic causality between ESG and economic growth: Evidence from panel causality analysis," MPRA Paper 95390, University Library of Munich, Germany.
    7. Steve Newbold & Charles Griffiths & Christopher C. Moore & Ann Wolverton & Elizabeth Kopits, 2010. "The "Social Cost of Carbon" Made Simple," NCEE Working Paper Series 201007, National Center for Environmental Economics, U.S. Environmental Protection Agency, revised Aug 2010.
    8. Herrendorf, Berthold & Rogerson, Richard & Valentinyi, Ákos, 2014. "Growth and Structural Transformation," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 6, pages 855-941, Elsevier.
    9. Ryan Edwards, 2013. "The cost of uncertain life span," Journal of Population Economics, Springer;European Society for Population Economics, vol. 26(4), pages 1485-1522, October.
    10. Johan Gustafsson, 2021. "Age-Targeted Income Taxation, Labor Supply, and Retirement," CESifo Working Paper Series 8988, CESifo.
    11. Colombier, Carsten & Weber, Werner, 2009. "Projecting health-care expenditure for Switzerland: further evidence against the 'red-herring' hypothesis," MPRA Paper 26747, University Library of Munich, Germany, revised Nov 2009.
    12. Chen, Li-Shiun & Wang, Ping & Yao, Yao, 2018. "Power of personalized smoking cessation: A unified lifecycle framework for policy evaluation," Working Paper Series 20333, Victoria University of Wellington, School of Economics and Finance.
    13. Svetlana Pashchenko & Ponpoje (Poe) Porapakkarm & Mariacristina De Nardi, 2017. "The Lifetime Costs of Bad Health," 2017 Meeting Papers 533, Society for Economic Dynamics.
    14. Kuhn, Michael & Frankovic, Ivan & Wrzaczek, Stefan, 2017. "Medical Progress, Demand for Health Care, and Economic Performance," VfS Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking 168249, Verein für Socialpolitik / German Economic Association.
    15. D. Dragone & H. Strulik, 2017. "Human Health and Aging over an Infinite Time Horizon," Working Papers wp1104, Dipartimento Scienze Economiche, Universita' di Bologna.
    16. Nicolai V. Kuminoff, 2018. "Can Understanding Spatial Equilibria Enhance Benefit Transfers for Environmental Policy Evaluation?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 69(3), pages 591-608, March.
    17. Katherine Baicker & Amitabh Chandra, 2010. "Understanding Agglomerations in Health Care," NBER Chapters, in: Agglomeration Economics, pages 211-236, National Bureau of Economic Research, Inc.
    18. Orietta Nicolis & Jean Paul Maidana & Fabian Contreras & Danilo Leal, 2024. "Analyzing the Impact of COVID-19 on Economic Sustainability: A Clustering Approach," Sustainability, MDPI, vol. 16(4), pages 1-30, February.
    19. Joseph Findlay & Caleb Piche-Larocque & Akhter Faroque, 2022. "Cost Estimation and Health Benefits Determinants of Medical Innovations Across Canadian Provinces," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 14(9), pages 1-25, September.
    20. FUKAI Taiyo & ICHIMURA Hidehiko & KANAZAWA Kyogo, 2018. "Quantifying Health Shocks over the Life Cycle," Discussion papers 18014, Research Institute of Economy, Trade and Industry (RIETI).

    More about this item

    Keywords

    Covid-19; tourism sector; macroeconomic effects; domestic tourism; international tourism; global economic crises;
    All these keywords.

    JEL classification:

    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:asbure:0184. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Alim Al Ayub Ahmed (email available below). General contact details of provider: https://abc.us.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.