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The impact of a new airport on international tourism: the case of Ragusa (Sicily)

Author

Listed:
  • Francesco David

    (Bank of Italy)

  • Giuseppe Saporito

    (Bank of Italy)

Abstract

Airports play a crucial role in connecting places and boosting local economic development; notwithstanding this, empirical evidence on the subject is relatively limited. This paper estimates the impact of a new airport in Ragusa, in southeastern Sicily, on international tourism flows in the area, using a synthetic control approach. Connecting by air a relatively peripheral and isolated area of Sicily with a high tourism potential has made it possible to increase by about one fifth the number of nights spent by foreign tourists (for over 5,100 additional nights), generating �434 thousand more in tourist expenditure per month.

Suggested Citation

  • Francesco David & Giuseppe Saporito, 2017. "The impact of a new airport on international tourism: the case of Ragusa (Sicily)," Questioni di Economia e Finanza (Occasional Papers) 412, Bank of Italy, Economic Research and International Relations Area.
    • Handle: RePEc:bdi:opques:qef_412_17
    as

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    File URL: https://www.bancaditalia.it/pubblicazioni/qef/2017-0412/QEF_412_17.pdf
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    References listed on IDEAS

    as
    1. Bruce A. Blonigen & Anca D. Cristea, 2012. "Airports and Urban Growth: Evidence from a Quasi-Natural Policy Experiment," NBER Working Papers 18278, National Bureau of Economic Research, Inc.
    2. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
    3. Jan K. Brueckner, 2003. "Airline Traffic and Urban Economic Development," Urban Studies, Urban Studies Journal Limited, vol. 40(8), pages 1455-1469, July.
    4. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
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    Cited by:

    1. Shreyas Gadgin Matha & Patricio Goldstein & Jessie Lu, 2020. "Air Transportation and Regional Economic Development: A Case Study for the New Airport in South Albania," CID Working Papers 127a, Center for International Development at Harvard University.

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    More about this item

    Keywords

    air transport; international tourism; synthetic control approach;
    All these keywords.

    JEL classification:

    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism

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