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Impact of Climate on Tourist Demand

Author

Listed:
  • Wietze Lise
  • Richard S.J. Tol

    () (Economic and Social Research Institute, Dublin)

Abstract

Tourism, being volatile and situation-specific, is responsive to climate change. A crosssection analysis is conducted on destinations of OECD tourists and a factor and regression analysis on holiday activities of Dutch tourists, to find optimal temperatures at travel destination for different tourists and different tourist activities. Globally, OECD tourists prefer a temperature of 21ºC (average of the hottest month of the year) at their choice of holiday destination. This indicates that, under a scenario of gradual warming, tourists would spend their holidays in different places than they currently do. The factor and regression analysis suggests that preferences for climates at tourist destinations differ among age and income groups.

Suggested Citation

  • Wietze Lise & Richard S.J. Tol, 2000. "Impact of Climate on Tourist Demand," Working Papers FNU-1, Research unit Sustainability and Global Change, Hamburg University, revised Aug 2000.
  • Handle: RePEc:sgc:wpaper:1
    as

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    File URL: http://www.fnu.zmaw.de/fileadmin/fnu-files/publication/working-papers/worldecon1.pdf
    File Function: First version, 2000
    Download Restriction: no

    References listed on IDEAS

    as
    1. Nordhaus, William D, 1991. "To Slow or Not to Slow: The Economics of the Greenhouse Effect," Economic Journal, Royal Economic Society, vol. 101(407), pages 920-937, July.
    2. Darwin, Roy & Tsigas, Marinos E. & Lewandrowski, Jan & Raneses, Anton, 1995. "World Agriculture and Climate Change: Economic Adaptations," Agricultural Economics Reports 33933, United States Department of Agriculture, Economic Research Service.
    3. Azar, Christian & Sterner, Thomas, 1996. "Discounting and distributional considerations in the context of global warming," Ecological Economics, Elsevier, vol. 19(2), pages 169-184, November.
    4. Samuel Fankhauser & Richard Tol & DAVID Pearce, 1997. "The Aggregation of Climate Change Damages: a Welfare Theoretic Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 10(3), pages 249-266, October.
    5. Gjerde, Jon & Grepperud, Sverre & Kverndokk, Snorre, 1999. "Optimal climate policy under the possibility of a catastrophe," Resource and Energy Economics, Elsevier, vol. 21(3-4), pages 289-317, August.
    6. Robert Mendelsohn & William D. Nordhaus & Shaw, Daigee, 1992. "The Impact of Climate on Agriculture: A Ricardian Approach," Cowles Foundation Discussion Papers 1010, Cowles Foundation for Research in Economics, Yale University.
    7. Richard Tol, 1999. "Spatial and Temporal Efficiency in Climate Policy: Applications of FUND," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 14(1), pages 33-49, July.
    8. Stephen C Peck & Thomas J. Teisberg, 1992. "CETA: A Model for Carbon Emissions Trajectory Assessment," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 55-78.
    9. Neil Adger, W., 1999. "Social Vulnerability to Climate Change and Extremes in Coastal Vietnam," World Development, Elsevier, vol. 27(2), pages 249-269, February.
    10. Fankhauser, Samuel & Tol, Richard S.J. & Pearce, David W., 1998. "Extensions and alternatives to climate change impact valuation: on the critique of IPCC Working Group III's impact estimates," Environment and Development Economics, Cambridge University Press, vol. 3(01), pages 59-81, February.
    11. Christian Azar, 1999. "Weight Factors in Cost-Benefit Analysis of Climate Change," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 13(3), pages 249-268, April.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Geoffrey Heal & Bengt Kriström, 2002. "Uncertainty and Climate Change," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 22(1), pages 3-39, June.

    More about this item

    Keywords

    tourist demand; climate variability; climate change; factor analysis; regression analysis; cross-section analysis;

    JEL classification:

    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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