nep-tur New Economics Papers
on Tourism Economics
Issue of 2023‒03‒20
two papers chosen by
Laura Vici
Università di Bologna

  1. Financial Integration and European Tourism Stocks By Guglielmo Maria Caporale; Stavroula Yfanti; Menelaos Karanasos; Jiaying Wu
  2. The Contribution of Tourism in National Economies: Evidence of Greece By Olga Kalantzi; Dimitrios Tsiotas; Serafeim Polyzos

  1. By: Guglielmo Maria Caporale; Stavroula Yfanti; Menelaos Karanasos; Jiaying Wu
    Abstract: This study examines the macro drivers of the time-varying (dynamic) connectedness between eleven European tourism sectors. Financial integration between the travel and leisure markets, measured by their dynamic correlations or co-movement, is explained by common global fundamentals. The empirical results provide new evidence on the counter-cyclical behaviour of the correlations; in particular, stronger cross-country interdependence can be attributed to economic slowdowns characterized by higher uncertainty and geopolitical risk, tighter credit and liquidity conditions, and sluggish economic and real estate activity. Further, economic and political uncertainty is found to intensify the macro effects on tourism correlations. Finally, crises such as the 2008 financial turmoil, the subsequent European debt crisis, and the recent Covid-19 pandemic crash, also magnify the impact of macro drivers on the evolution of co-movement and integration in the tourism sector.
    Keywords: cross-country tourism correlations, economic policy uncertainty, financial/health crisis, financial integration, sectoral contagion, travel and leisure industry
    JEL: C32 D80 G01 L83 Z39
    Date: 2023
  2. By: Olga Kalantzi; Dimitrios Tsiotas; Serafeim Polyzos
    Abstract: Greece constitutes a coastal country with a lot of geomorphologic, climatic, cultural and historic peculiarities favoring the development of many aspects of tourism. Within this framework, this article examines what are the effects of tourism in Greece and how determinative these effects are, by applying a macroscopic analysis on empirical data for the estimation of the contribution of tourism in the Greek Economy. The available data regard records of the Balance of Payments in Greece and of the major components of the Balance of the Invisible Revenues, where a measurable aspect of tourism, the Travel or Tourism Exchange, is included. At the time period of the available data (2000-2012) two events of the recent Greek history are distinguished as the most significant (the Olympic Games in the year 2004 and the economic crisis initiated in the year 2009) and their impact on the diachronic evolution in the tourism is discussed. Under an overall assessment, the analysis illustrated that tourism is a sector of the Greek economy, which is described by a significant resilience, but it seems that it has not yet been submitted to an effective developmental plan exploiting the endogenous tourism dynamics of the country, suggesting currently a promising investment of low risk for the economic growth of country and the exit of the economic crisis
    Date: 2023–02

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