nep-tur New Economics Papers
on Tourism Economics
Issue of 2023‒10‒09
one paper chosen by
Laura Vici, Università di Bologna

  1. International Spillovers from Prostitution Regulation: The "Nordic Model" and Sex Tourism By Perrotta Berlin, Maria; Latour, Chiara; Spagnolo, Giancarlo

  1. By: Perrotta Berlin, Maria (Stockholm Institute of Transition Economics); Latour, Chiara (Stockholm Institute of Transition Economics); Spagnolo, Giancarlo (Stockholm Institute of Transition Economics)
    Abstract: We investigate the causal effect of the asymmetric criminalization of prostitution on sex tourism. We exploit legal reforms in five countries that switched from systems where prostitution was legal (Norway, Sweden, Ireland, Canada), or where only buying sex was legal (France), to the “Nordic model” where only buying is criminalized. Using a difference-in-differences approach on data from Google trends and tourism statistics, we estimate the impact of the reforms on tourism flows to neighboring countries and popular sex tourism destinations. We find significant effects for countries where prostitution was legal, but not for France where selling sex was prohibited.
    Keywords: Prostitution law; Nordic model; Sex tourism; Google Trends; Policy spillovers
    JEL: D04 K14
    Date: 2023–09–21

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