Abstract
The objective of this study is to investigate the effect of tourism investment on tourism development and CO2 emissions in a panel of 28 EU countries using annual data from 1990-2013. The empirical results from a panel cointegration test confirm the presence of long-run equilibrium relationship among the variables. The long-run elasticities indicate that tourism investment has a significant positive and negative impact on tourism development and CO2 emissions, respectively. Finally, the short-run heterogeneous panel non-causality test results show the evidence of bidirectional causality between tourism investment and tourism revenue. These results therefore suggest that tourism investments not only increase tourism revenue but also reduce CO2 emissions. Given these findings, we suggest the policy makers of the EU nations to initiate more effective policies to increase the tourism investments. The increasing tourism investments will allow the industry to grow further by ensuring sustainable tourism development across the EU member countries.
| Original language | English |
|---|---|
| Pages (from-to) | 1587-1607 |
| Number of pages | 21 |
| Journal | Journal of Sustainable Tourism |
| Volume | 26 |
| Issue number | 9 |
| Early online date | 15 Oct 2018 |
| DOIs | |
| Publication status | Published - 2018 |
Keywords
- CO emissions
- Sustainable tourism investments
- the European Union
- tourism development
ASJC Scopus subject areas
- Geography, Planning and Development
- Tourism, Leisure and Hospitality Management
Access to Document
- Author Accepted Manuscript
This is an Accepted Manuscript of an article published by Taylor & Francis in Journal of Sustainable Tourism on 15 October 2018, available online: https://doi.org/10.1080/09669582.2018.1489398.