nep-tur New Economics Papers
on Tourism Economics
Issue of 2012‒03‒28
eight papers chosen by
Antonello Scorcu
University of Bologna

  1. Effects of tourism development on temporality By Yolanda Pena-Boquete; Diana Pérez-Dacal
  2. Empirical assessment of the tourism-led growth hypothesis: the case of the ÒTirol-SŸdtirol-TrentinoÓ Europaregion By Juan Gabriel Brida; Diego Giuliani
  3. Estimating Price Effects in an Almost Ideal Demand Model of Outbound Thai Tourism to East Asia By Chia-Lin Chang; Thanchanok Khamkaew; Michael McAleer
  4. The determinants of intra-industry trade in the tourism services By Leitão, Nuno Carlos
  5. The influence of individuals’ environmental attitudes and urban design features on their travel patterns in sustainable neighborhoods in the UK By Susilo, Yusak O.; Williams, Katie; Lindsay, Morag; Dair, Carol
  6. Experiences from the Swedish Value of Time study By Börjesson, Maria; Eliasson, Jonas
  7. Territorial strategic planning as a support instrument for regional and local development: a comparative analysis between Lisbon and Barcelona metropolitan areas By Marques, Bruno Pereira
  8. Valuations of travel time variability in scheduling versus mean-variance models By Börjesson, Maria; Eliasson, Jonas; Franklin, Joel

  1. By: Yolanda Pena-Boquete (University of Vigo); Diana Pérez-Dacal (University of Santiago de Compostela)
    Abstract: Spain has the highest percentage of temporary workers in the European Union, and this problem is even more severe in the Tourism sector. In fact, tourism is well-known for being a source of low-skilled jobs, specifically for showing a higher percentage of fixed-term contracts. However, the tourism employment pattern is characterized by remarkable differences between Spanish regions. On the one hand, this could be related with the fact that each characteristic tourism industry provides a different percentage of its output to tourists, as it is shown in the Spanish Tourism Satellite Account. On the other hand, the relevance of tourism is also different for each Spanish region. Given that, the aim of this paper is to analyse what factors can determine the incidence of temporary employment in tourism activities in Spain. We use different measures such as the specialization ratio, tourism density ratio... in order to identify the degree of specialization of each region in tourism. Results show that temporality is not a characteristic of tourism; in fact temporality decreases with specialization in tourism.
    Keywords: Tourism, labour market, tourism specialization, temporary jobs, regional development.
    JEL: J21 L83
    Date: 2012
  2. By: Juan Gabriel Brida; Diego Giuliani
    Abstract: The use of cointegration tests has become very popular in the empirical analysis of the tourism-led growth hypothesis (TLGH). It was first introduced in the tourism economics literature by Balaguer and Cantavella-Jordˆ (2002) and then popularized by many researches which tried to assess the causal long-run relationship between international tourism and economic growth. The vast majority of these studies analyzed countries where tourism is one of the most important sector of the national economy and, in most cases, the TLGH has been validated. With respect to previous contributions to the literature, this paper investigates the TLGH for subnational transfrontier economies, namely the three administrative areas forming the ÒTirol-SŸdtirol-TrentinoÓ Europaregion. The direct comparison amongst the results for across-the-border regions which have a similar international tourism market provides new insights in the understanding of tourism-led growth hypothesis. Length: 25 pages
    Keywords: economic growth; tourism development; Johansen cointegration test; Granger causality
    Date: 2012–03
  3. By: Chia-Lin Chang (Department of Applied Economics, Department of Finance, National Chung Hsing University Taichung, Taiwan); Thanchanok Khamkaew (Faculty of Economics, Maejo University, Thailand); Michael McAleer (Econometric Institute, Erasmus School of Economics, Erasmus University Rotterdam and Tinbergen Institute, The Netherlands, Department of Quantitative Economics, Complutense University of Madrid, and Institute of Economic Research, Kyoto University)
    Abstract: This paper analyzes the responsiveness of Thai outbound tourism to East Asian destinations, namely China, Hong Kong, Japan, Taiwan and Korea, to changes in effective relative price of tourism, total real total tourism expenditure, and one-off events. The nonlinear and linear Almost Ideal Demand (AID) models are estimated using monthly data to identify the price competitiveness and interdependencies of tourism demand for competing destinations in both long run (static) and short run error correction (dynamic) specifications. Homogeneity and symmetry are imposed in the long run and short run AID models to estimate the elasticities. The income and price elasticities provide useful information for public and private tourism agents at the various destinations to maintain and improve price competitiveness. The empirical results show that price competitiveness is important for tourism demand for Japan, Korea and Hong Kong in the long run, and for Hong Kong and Taiwan in the short run.
    Keywords: Almost Ideal Demand (AID) model, Tourism demand, Price competitiveness, Substitutes, Budget shares, Error correction.
    JEL: C3 C5 D12 L83
    Date: 2012
  4. By: Leitão, Nuno Carlos
    Abstract: Purpose- This manuscript examines the determinants of intra-industry trade (IIT) in the tourism services by Portugal. The trade in this sector between Portugal and 17 countries was examined between 2002 and 2009. Design/methodology/approach- The paper formulates theoretical hypothesis that may explain the intra-industry trade in the tourism services. These hypotheses are tested using a dynamic panel data analysis. Findings- The result show that intra-industry trade occurs more frequently among countries that are similar in terms of factor endowments. The economic dimension and border confirm the positive impact in IIT. Our results also show that intra-industry trade increases if transportation costs decrease. Originality of the research-This article confirms relevant theoretical hypotheses on the causes of intra-industry trade. The results obtained with the Arellano and Bond GMM system estimator suggest that the building of dynamic theoretical models will be of interest to academic researchers in tourism services.
    Keywords: Intra-industry trade; tourism services; dynamic panel data; Portugal
    JEL: C23 L70
    Date: 2012–03–19
  5. By: Susilo, Yusak O. (Royal Institute of Technology (KTH)); Williams, Katie (University of the West of England (UWE)); Lindsay, Morag (Oxford Brookes University); Dair, Carol (Oxford Brookes University)
    Abstract: This paper explores the influence of individuals’ environmental attitudes and urban design features on travel behavior, including mode choice. It uses data from residents of 13 new neighborhood UK developments designed to support sustainable travel. It is found that almost all respondents were concerned about environmental issues, but their views did not necessarily ‘match’ their travel behavior. Individuals’ environmental concerns only had a strong relationship with walking within and near their neighborhood, but not with cycling or public transport use. Residents’ car availability reduced public transport trips, walking and cycling. The influence of urban design features on travel behaviors was mixed, higher incidences of walking in denser, mixed and more permeable developments were not found and nor did residents own fewer cars than the population as a whole. Residents did, however, make more sustainable commuting trips than the population in general. Sustainable modes of travel were related to urban design features including secured bike storage, high connectivity of the neighborhoods to the nearby area, natural surveillance, high quality public realm and traffic calming. Likewise the provision of facilities within and nearby the development encouraged high levels of walking.
    Keywords: Sustainable urban design; Travel patterns; Attitudes and beliefs; Sustainable travel modes
    JEL: O18 O21 O44 R21 R28 R31 R42 R58 Z10
    Date: 2012–02–02
  6. By: Börjesson, Maria (KTH); Eliasson, Jonas (KTH)
    Abstract: We provide a synthesis of results and insights from the Swedish Value of Time study, with focus on what is relevant for transport appraisal and understanding travel behaviour. We summarize recent econometric advances, and show how these enable a better understanding and identification of the value of time distribution. The influence of the sign and size of changes is estimated and discussed, including the problems of loss aversion and the value of small time savings. Further, we show how the value of time depends on trip and traveller characteristics, discuss in what dimensions the value of time should be differentiated in appraisal, and provide recommended values for use in applied transport appraisal.
    Keywords: Value of time; Appraisal; Cost-benefit analysis; Travel behaviour; Weighted cost-benefit analysis
    JEL: C25 D61 J22 R41 R42
    Date: 2012–03–13
  7. By: Marques, Bruno Pereira
    Abstract: The present work has the purpose of making a comparative analysis of local development processes at a metropolitan scale, territories whose administrative and institutional limits do not always match with their political and economic identity and are inserted in global processes of socioeconomic transformation. The main purpose of this work is to analyze and understand the competitive advantages that the local and metropolitan political powers have over the Central State in what may concern the creation of favorable measures for companies’ productivity and competitiveness; analyze new forms of democratic political participation, namely around the so-called Territorial Governance. In terms of Territorial Strategic Planning, the focus has been, frequently, in the realization of great cultural and sport events and in urban rehabilitation. In this sense, the perspective will be more centered in the analysis of processes that lead to Local Development Initiatives in the fields of Education, Professional Formation or support for Entrepreneurship, rather then more “traditionalist” analysis. Given the nature of the present work, a Master Degree Project Work, the practical component will be postponed for future Doctoral studies. Nevertheless, we have the intention of testing some hypothesis, more in Lisbon Metropolitan Area, then Barcelona Metropolitan Area, namely throughout statistical data analysis and interviews to local actors.
    Keywords: Barcelona; Lisbon; Metropolitan Areas; Regional and Local Development; Territorial Strategic Planning
    JEL: R58 R1
    Date: 2011
  8. By: Börjesson, Maria (Royal Institute of Technology (KTH)); Eliasson, Jonas (Royal Institute of Technology (KTH)); Franklin, Joel (Royal Institute of Technology (KTH))
    Abstract: The standard method of estimating the value of travel time variability for use in policy appraisal is to estimate the parameters of a reduced-form utility function, where some measure of travel time variability (such as the standard deviation) is included. A problem with this approach is that the obtained valuation will in general depend on the standardized travel time distribution, and hence cannot be transferred from one context to another. A recently suggested remedy of this problem has been to estimate a scheduling model, which in theory is transferrable, and use the implied reduced-form to derive valuations for use in appraisal. In this paper we estimate both a scheduling model and the implied reduced-form model, using stated choice data. The valuation of travel time variability implied by the scheduling model turns out to be substantially smaller than what is obtained from a reduced-form model estimated on the same sample. The results suggest that the scheduling model does not capture all of the disutility arising from travel time variability. Hence, although it can be shown that scheduling and reduced-form models are “theoretically equivalent”, that hypothesized equivalence is not reflected in the empirical evidence. We speculate that the derivation of reduced-form models from an underlying scheduling model omits two essential features: first, the notion of an exogenously fixed “preferred arrival time” neglects the fact that most activities can be rescheduled given full information about the travel times in advance, and second, disutility may be derived from uncertainty as such, in the form of anxiety, decisions costs or costs for having contingency plans. We also report our estimates of the valuation of travel time variability for public transit trips, for use in applied appraisal.
    Keywords: Travel time variability; reliability; delays; scheduling models
    JEL: D61 R49
    Date: 2012–02–02

This nep-tur issue is ©2012 by Antonello Scorcu. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.