TY - JOUR
T1 - To what extend economic uncertainty effects tourism investments? Evidence from OECD and non-OECD economies
AU - Demir, Ender
AU - Gozgor, Giray
AU - Paramati, Sudharshan Reddy
N1 - Copyright 2020 Elsevier B.V., All rights reserved.
PY - 2020/10
Y1 - 2020/10
N2 - This paper aims to examine the role of economic policy uncertainty (EPU) on tourism investments across the samples of OECD, non-OECD, high-income, upper-middle-income, and low-income economies. We account for cross-sectional dependence and endogeneity and also incorporate economic development, financial development, and trade openness indicators in the analyses. By using annual data between 1996 and 2016 and a total of 101 countries, we provide robust estimates on the determinants of tourism investments. The findings from the Common Correlated Effects Mean Group (CCEMG) and the Group Mean approaches show that the EPU has a significant negative impact on tourism investments across the panels. Moreover, other estimates suggest that economic development, financial development, and trade positively contribute to tourism investments.
AB - This paper aims to examine the role of economic policy uncertainty (EPU) on tourism investments across the samples of OECD, non-OECD, high-income, upper-middle-income, and low-income economies. We account for cross-sectional dependence and endogeneity and also incorporate economic development, financial development, and trade openness indicators in the analyses. By using annual data between 1996 and 2016 and a total of 101 countries, we provide robust estimates on the determinants of tourism investments. The findings from the Common Correlated Effects Mean Group (CCEMG) and the Group Mean approaches show that the EPU has a significant negative impact on tourism investments across the panels. Moreover, other estimates suggest that economic development, financial development, and trade positively contribute to tourism investments.
KW - CCEMG estimator
KW - Economic development
KW - Economic policy uncertainty
KW - EPU index
KW - Tourism investments
KW - World uncertainty index
UR - http://www.scopus.com/inward/record.url?scp=85093651538&partnerID=8YFLogxK
U2 - 10.1016/j.tmp.2020.100758
DO - 10.1016/j.tmp.2020.100758
M3 - Article
AN - SCOPUS:85093651538
VL - 36
JO - Tourism Management Perspectives
JF - Tourism Management Perspectives
SN - 2211-9736
M1 - 100758
ER -