Tourism, Dutch Disease and Welfare in an Open Dynamic Economy
This paper examines the effects of an expansion in tourism on capital accumulation, sectoral output and resident welfare in an open economy with an externality in the traded good sector. An expansion of tourism increases the relative price of the nontraded good, improves the tertiary terms of trade and hence yields a gain in revenue. However, this increase in the relative price of nontraded goods results in a lowering of the demand for capital used in the traded sector. The subsequent de-industrialization in the traded good sector may lower resident welfare. This result is supported by numerical simulations.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
|Date of creation:||Dec 2006|
|Publication status:||Published in The Japanese Economic Review, 2006, 57 (4), pp.501-515. 〈10.1111/j.1468-5876.2006.00400.x〉|
|Note:||View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-00310516|
|Contact details of provider:|| Web page: https://hal.archives-ouvertes.fr/|