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Tourism, economic growth, energy consumption, and CO2 emissions in China

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  • Jiekuan Zhang

    (Guilin Tourism University, China)

  • Yan Zhang

    (Guilin Tourism University, China)

Abstract

In this article, we for the first time applied the vector error correction model (VECM) Granger causality approach to investigate the short-run and long-run causal relationships among tourism, economic growth, energy consumption, and carbon dioxide (CO 2 ) emissions for 30 Chinese provinces over the period 2000–2017. The results implied that the analyzed variables became stationary at their first differences. The panel cointegration tests indicated the presence of a long-term equilibrium relationship among these four analyzed variables. Results from the VECM Granger causality tests suggested that the bidirectional short-term causalities were statistically confirmed between gross domestic product (GDP) and tourism. Additionally, we found that some unidirectional short-run causalities existed running from energy consumption to other analyzed variables and bidirectional long-run causalities existed between CO 2 emissions and GDP, CO 2 emissions and tourism, and GDP and tourism. Moreover, we also found the existence of unidirectional long-term causalities running from energy consumption to other analyzed variables. Based on these findings, we highlighted some key policy implications to develop China’s sustainable tourism.

Suggested Citation

  • Jiekuan Zhang & Yan Zhang, 2021. "Tourism, economic growth, energy consumption, and CO2 emissions in China," Tourism Economics, , vol. 27(5), pages 1060-1080, August.
  • Handle: RePEc:sae:toueco:v:27:y:2021:i:5:p:1060-1080
    DOI: 10.1177/1354816620918458
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