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UK Tourists, The Great Recession and Irish Tourism Policy

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  • Callaghan, Niamh
  • Tol, Richard S. J.

Abstract

Inbound tourism to Ireland fell sharply in 2009 and 2010. Visits to Ireland from the UK, the dominant country of origin of visitors to Ireland, did not fall faster than UK visits elsewhere. We use micro-data for UK travellers to estimate price elasticities of tourism demand for various market segments. The proposed reduction in the travel tax, and the reduction in the VAT rate for "tourism goods and services" would lead to a modest increase in visitor numbers and expenditure. However, the increase in expenditure is small compared to the foregone tax revenue.

Suggested Citation

  • Callaghan, Niamh & Tol, Richard S. J., 2011. "UK Tourists, The Great Recession and Irish Tourism Policy," Papers WP412, Economic and Social Research Institute (ESRI).
    • Handle: RePEc:esr:wpaper:wp412
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    2. Zdravko Šergo & Jasmina Gržiniæ & Mirela Suèiæ Èevra, 2017. "The tourism and travel industry and its effect on the Great Recession: A multilevel survival analysis," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 35(2), pages 427-458.

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