nep-tur New Economics Papers
on Tourism Economics
Issue of 2007‒01‒13
six papers chosen by
Antonello Scorcu
Universita di Bologna

  1. Tourism Challenges in the Baltic States Since EU Enlargement By Iveta Druva Druvaskalne; Agita Slara
  2. Regional Tourism Satellite Account (RTSA) in Finland - Data, Concepts, Methods and Key Results By Juha-Pekka Konttinen
  3. Survival Analysis in Tourism Demand: The length of stay in Latin American destinations By Carlos Pestana Barros; Antónia Correia
  4. Utility in WTP Space: A Tool to Address Confounding Random Scale Effects in Destination Choice to the Alps By Ricardo Scarpa; Mara Thiene; Kenneth Train
  5. Input Output Tables for the Management of Water Resources in Islands. The Case of Terceira Island. By Tomaz Dentinho; Pedro Ferreira; Vasco Silva
  6. Economic Und Fiscal Effects of the FIFA World Cup in Germany - the Case of Munich By Alina Mihaela Popescu; Peter Friedrich; Gunther Wonnemann

  1. By: Iveta Druva Druvaskalne; Agita Slara
    Abstract: The paper gives explanation of tourism processes changes in the three Baltic States since 1st May, 2004. The number of tourists are increased in the all three Baltic States during EU enlargement. It does not mean that the benefits from tourism and travel industry is increased at the same figures at the same time because of many tourists are spending small amount of money or they are not spending at all. The main issue is to provide sustainable tourism products for foreign markets, not seperate activities. At the same time it is necessary to develop new sustainable tourism attractions in cities and in rural areas by local initiative if Baltic States wants to increase income from tourism and travel industry.
    Date: 2006–08
  2. By: Juha-Pekka Konttinen
    Abstract: The aim of this paper is to describe how the Tourism Satellite Account (TSA) is made for Finnish regions. However, the aim of this project is to analyse the regional effects and regional economic structures of tourism in Finland. The TSA is a statistical system which depicts the financial importance and economic effects of tourism in an extensive and versatile manner. It is based on the European System of Accounts ESA 1995 and internationally given standards and norms of the TSA. Therefore, it is comparable between different countries. In Finland, the Tourism Satellite Account was first introduced in 1999. Since then, there have been two updates; the latest was published in December 2004. The TSA was partially regionalised for the first time in May 2005 basing on data from 2002. The aim of this project is to fully regionalise the TSA at the NUTS 3 level. Among other aggregates, the TSA provides information on visitor consumption, tourism supply and demand and employment. To be precise, the consumption of visitors is estimated by product and type of tourism. Supply and demand tables of tourism are balanced and divided to the products. Employment and total hours worked are reported by industry. The research results enable an analysis of one region at a time or comparisons between regions simultaneously. The tables and accounts are based on several source materials, mostly produced by Statistics Finland. The data include National and Regional Accounts, Tourism Statistics, Finnish Travel Survey and statistics on Finnish Enterprises, as well as numerous other sources. There will also be a survey made of the tourism industry. Increasing economic impacts of tourism have been recognised for a number of years. The results of this research can be used in both planning and development at the regional level. Furthermore, it is possible to conduct further studies into the economic effects of tourism in Finnish regions.
    Date: 2006–08
  3. By: Carlos Pestana Barros; Antónia Correia
    Abstract: This article analyses the determinants of the length of stay of Portuguese tourists taking vacations in Latin America, based on a questionnaire distributed on flights of a Portuguese charter airline, Air Luxor. A survival model is adopted to measure the relationship between vacation length and covariates. It is concluded that the most affluent tourists, who are motivated by culture, climate and security, will have the longest stays. The policy implication is derived.
    Keywords: duration models; heterogeneity; tourism; Latin America.
  4. By: Ricardo Scarpa (University of Waikato); Mara Thiene (University of Padua Viale dell’Universita`); Kenneth Train (University of California at Berkeley)
    Abstract: Destination choice models with individual-specific taste variation have become the presumptive analytical approach in applied nonmarket valuation. Continuous mixtures of taste distributions are often modeled using computationally convenient distributions based on the multivariate normal. Though conceptually appealing, empirically these often imply results with untenable distributions of willingness-to-pay in the population. Furthermore, interpersonal variation in the scale of the error may confound variation in taste intensities thereby producing biased WTP estimates. We compare estimates from random utility models that use normal and log-normal distributions first for taste intensities of destination attributes and then for WTPs. Estimates from simulated maximum likelihood and hierarchical Bayes approaches are compared. The results indicate that specifications in WTP space produce more reasonable features of implied WTP distributions for the population. This approach to specification of utility is hence deemed promising in applied nonmarket valuation.
    Keywords: mixed logit random utility parameters; random willingness to pay; travel cost method; destination choice modeling
    JEL: C15 C25 Q26
    Date: 2006–12–15
  5. By: Tomaz Dentinho; Pedro Ferreira; Vasco Silva
    Abstract: Islands are attractive places for tourists and most islands can be, sooner or later, requested by an increasing touristic demand. But islands are also places where natural capital has very defined limits. The aim of this paper is to assess the carrying capacity of islands in terms of water in relation to the touristic demand. We use an Input-Output Table Model and expand it to include the use of water by the different sectors and by the households. The model is estimated for the Azores islands using cross entropy methods. The structure of the model is obtained from the Input-Output Table of the Region. The data to estimate the model for each island comes from the employment and production of the companies in each island. Finally we simulate the model for each island for different levels of water supply accessible at different costs and discuss the competitiveness of the islands' touristic sector and their sustainability.
    Date: 2006–08
  6. By: Alina Mihaela Popescu; Peter Friedrich; Gunther Wonnemann
    Abstract: The authors determine the income effects, employment effects, production effects, migration effects as well as the budget effects and effects concerning social insurances. These effects concern the city of Munich, the hinterland, other municipalities, Bavaria, other states and the federation. The so-called “Taxonomic Localization Approach for Public Offices“ is applied. The model for identifying the effects considers the characteristics of the games and of the Munich region. Direct effects are related to economic units directly involved in the World Cup™ games. Indirect effects concern the reaction of economic units which are not part of the project, e.g. hotels in Munich. A project includes the effects of the visitors and accompanying persons, of journalists, of a media centre, of FIFA-congresses and of special social events related to the games organized by the city of Munich. In addition, activities of fan-shops, restaurants, service and marketing companies, of the FIFA, the firm operating the stadium influence the size of the effects. The effects are estimated for the year 2006. In Munich, the effects on income, employment, and production turn out considerable high. The budget effects to the city of Munich are also positive. These are going to be positive for the hinterland and the social insurance, too. The size of the effects depend mainly on the visitors and journalists as well as on their expenses. Positive effects caused by the World Cup™ games in Munich compensate the losses of other regions. Moreover, the business and financial conditions of the stadium, the intergovernmental horizontal and vertical fiscal relations, the characteristics of the regional economy, number of visitors, etc. determine the effects. Public relation effects for Munich, social and political effects and promotion of sports occur, but are not considered here.
    Date: 2006–08

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