scholarly journals Tourism Industry and Economic Growth Nexus in Beijing, China

Economies ◽  
2019 ◽  
Vol 7 (1) ◽  
pp. 25 ◽  
Author(s):  
Yang Songling ◽  
Muhammad Ishtiaq ◽  
Bui Thi Thanh
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Strong Support ◽  
Growth Index ◽  
Strong Relationship ◽  
Tourism Industry ◽  
Var Model ◽  
Long Run ◽  
The Relationship ◽  
Beijing China

In the developing economy, tourism is the most visible and steadiest growing facade. Tourism is considered one of the rapidly increasing elements for economic development from the last two decades. Therefore, the proposed study used vector autoregression (VAR) model, error correction model (ECM), and the Granger causality to check the relationship between the tourism industry and economic growth based on the data of the Beijing municipal bureau of statistics from 1994 to 2015. Gross domestic product (GDP) is used as a replacement variable for the economic growth index, while internal tourism revenue is used as a tourism industry indicator. The study supports the tourism-led growth hypothesis proposed in the existing literature in a different survey of tourism and economic development. The results show that there is a strong relationship in the tourism industry and economic growth in the context of Beijing, and at the same time, tourism creates a more significant increase in long run local real economic accomplishments. The results of the VAR model confirm that in the long run, Beijing’s economic growth is affected by domestic tourism, while the ECM model shows unidirectional results in the short term. Similarly, there is a one-way causal relationship between the tourism industry and economic growth in Beijing, China. The empirical results are in strong support of the concept that tourism causes growth.

scholarly journals Empirical Analysis of the Relationship Between the Development of China's Tourism Industry and Economic Growth Based on VAR Model

2021 ◽  
Vol 12 (4) ◽  
pp. 100
Author(s):  
Lianfeng Zhang ◽  
Yuriy Danko ◽  
Jianmin Wang ◽  
Zhuanqing Chen
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Tourism Development ◽  
Tourism Industry ◽  
Series Data ◽  
Var Model ◽  
Long Run ◽  
Equilibrium Relationship ◽  
The Relationship

The relationship between tourism development and economic growth has been a hot topic in the field of tourism economy in recent years, and whether there is a long-term equilibrium relationship between tourism development variables and economic variables (usually GDP) is also a hot topic. By identifying the long-term equilibrium relationship between two variables, we can find the quantitative variation law (generally effect) of one variable with the other. Based on the vector autoregression of the time series data of China's tourism development from 2000 to 2019, it is found that there is a long-term equilibrium relationship between China's tourism foreign exchange income and domestic tourism gross income and their respective GDP, and the long-term effect is 99% respectively. Through the establishment of the VAR model for the development of China's tourism industry and economic growth, in the long run, they have a balanced relationship of mutual promotion, so as to further guide the development of China's tourism.

scholarly journals Influence of Tourism on Economic Development in Asian Countries

2020 ◽  
Vol 5 (2) ◽  
pp. 207-216
Author(s):  
Wen-Chuan FU ◽  
◽  
Chia-Jui PENG ◽  
Tzu-Yi YANG ◽  
◽  
...  
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Global Economy ◽  
Tourism Industry ◽  
Asian Countries ◽  
Cross Sectional ◽  
Rate Fluctuation ◽  
National Economic ◽  
International Entry ◽  
The Relationship

Although the tourism industry has recorded the lowest pollution, it significantly contributes to the global economy. Therefore, many countries have spent great efforts in promoting their tourism industry to support their entire economic development. This article considers factors related to the relationship between national economic growth and international entry tourism for 11 Asian countries to investigate the existence of the cross-sectional difference between these countries. Results show that exchange rate fluctuation is an alternative factor affecting economic growth risk, and common slope exists between countries. Moreover, international entry tourist headcount and income show differential slope in some countries, implying that these factors affect the economies of different Asian countries differently.

scholarly journals An analysis of key sectors of economic growth in Greece: A VAR testing approach

2018 ◽  
Vol 7 (4) ◽  
pp. 7-12
Author(s):  
Konstantinos Spinthiropoulos ◽  
Alexandros Garefalakis ◽  
Dimitrios Charamis ◽  
Georgios Gerakis ◽  
Anastasios Konstantinidis
Keyword(s):  
Economic Growth ◽  
Economic Crisis ◽  
Manufacturing Sector ◽  
Economic Recession ◽  
Tourism Industry ◽  
Term Relation ◽  
Long Run ◽  
Greek Economy ◽  
The One ◽  
The Relationship

The purpose of the study is to examine the relationship that exists between tourism, money supply and construction, on the one hand, and the economic growth in Greece, using a multivariate autoregressive model VAR. The long-term relation based on the Cointegration test results has shown the existence of a long run relation despite the prolonged economic recession. The analysis was carried out for the period from 1965 to 2015. The empirical results show that the economy of Greece can recover and return to long run equilibrium with a speed of adjustment reaching 3,60 % per year. The global economic crisis has undoubtedly affected the Greek economy. Long before the onset of the economic crisis, Greece applied a model of economic growth that relied on the growth of the manufacturing sector. In particular, the development of the construction sector was the engine of the Greek economy. However, through our analysis, it turns out that the engine for the development of the Greek economy is tourism rather than construction. The relationship between construction and the supply of money in Greece’s GDP is positive. However, the dynamics of the tourism industry stand out in comparison to the other areas examined.

Does the composition of government expenditure matter for Eastern Caribbean economies’ long-run sectoral output growth?

2019 ◽  
Vol 18 (1) ◽  
pp. 2-14
Author(s):  
Ankie Scott-Joseph ◽  
Treshauna Felecia Turner
Keyword(s):  
Economic Growth ◽  
Government Expenditure ◽  
Strong Support ◽  
Output Growth ◽  
Content Type ◽  
Distributed Lag ◽  
Long Run ◽  
Eastern Caribbean ◽  
The Relationship ◽  
Total Government Expenditure

PurposeThis study takes a disaggregated approach to investigate the impacts of long-run GDP on changes in total government expenditure in the Eastern Caribbean Currency Union (ECCU) economies. An understanding of the relationship between changes in total government expenditure and GDP (by sector categories) is expected to provide a working tool to understand the growth debt nexus of Caribbean countries. The purpose of the paper is to use an auto regressive distributed lag (ARDL) and error correction model (ECM) to examine and analyse short- and long-run dynamics of disaggregated approach to both output and government expenditure in a dynamic model to identify the growth in the Eastern Caribbean Countries.Design/methodology/approachIn an attempt to examine the long-run dynamics, data for the period 1970-2015 were used in an ARDL and ECM framework. The authors examine the long-run GDP impacts of changes in total government expenditure and in the shares of different spending categories for the ECCU countries to establish and analyse short and long-run dynamics.FindingsThe results suggest that total fiscal expenditure and disaggregated expenditure including debt services have both positively and negatively contributed to economic growth in the agriculture, manufacturing and mining sectors. Among others, the study found that high national debt in the region resulted primarily from increases in government expenses and diminishing income sources.Originality/valueThis paper is the first to take a disaggregated approach to investigate the relationship between economic growth and government expenditure in the Eastern Caribbean States. The authors’ empirical results suggest that debt servicing reduces economic growth both in the short and long run. The greatest impact being felt in the mining and manufacturing sectors, namely, 1 per cent increase in debt service will bring about 7.90 and 1.67 per cent decrease in economic growth. These results offer fairly strong support to the view that expenditure share variables can weaken sectoral growth, and hence force the overall growth to decline.

scholarly journals Population Change and Economic Development in Albania

2015 ◽  
Vol 2 (1) ◽  
pp. 102
Author(s):  
Alma Meta ◽  
Abdulmenaf Sejdini
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Population Growth ◽  
Population Change ◽  
Ongoing Debate ◽  
Population Movements ◽  
Long Run ◽  
State Of The Economy ◽  
The Relationship ◽  
Auto Regression

This paper studies, to what extent have population changes and economic growth have affected each other in Albania. In the last three decades, Albanian economy has been very dependent on population movements. There has been an ongoing debate on the dynamics of economic development and population growth. One theory suggests that fast population growth causes strain on resources that deteriorate the state of the economy. Another theory sees the population growth as an advantage in the long run, rather than a threat. And a third theory suggests that population growth and economic growth do not affect each other.Vector Auto Regression method is used in this paper for data obtained from 1981 to 2013 to estimate the importance of the relationship between the two variables. The data is retrieved from publications of institutions like World Bank and INSTAT. The empirical results state that the relationship between the population and economic growth is existent but weak in Albania.

scholarly journals The Relationship Between Foreign Direct Investment Oriented Economic Growth in Uganda: An Empirical Study Based on VAR Model

2021 ◽  
Author(s):  
Nabyonga Barbra ◽  
Hina Nawaz
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Var Model ◽  
Vector Autoregressive Model ◽  
Causality Test ◽  
Vector Autoregressive ◽  
Long Run ◽  
The Relationship

The purpose of this paper is to investigate the relationship between Foreign Direct Investment (FDI) and Economic growth as measured by Gross Domestic Product (GDP) over Uganda, from 1980-2018. Vector Autoregressive Model (VAR) and Granger Causality test were used. The results show thatlag 1 is the optimal lag hence bivariate VAR (1) model was used. GDP and FDI exhibits long-term equilibrium since the two-time series are cointegrated in long run. The causality test indicates that there exists a unilateral relationship between FDI and GDP, and FDI causes GDP growth and not vice versa. Understanding these causality links can help in future forecasting of Uganda's economic growth.

scholarly journals THE MEDIATOR ROLE OF GLOBAL CONNECTEDNESS IN THE RELATIONSHIP BETWEEN LOGISTICS PERFORMANCE AND HUMAN DEVELOPMENT

2019 ◽  
Vol 6 (4) ◽  
pp. 969-980 ◽  
Author(s):  
Ümit ÇELEBİ ◽  
Mustafa Emre CİVELEK
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Human Development ◽  
Health Indicators ◽  
Well Being ◽  
Education And Health ◽  
Long Run ◽  
Mediator Role ◽  
The Relationship

Economic growth indicates a decent standard of living but it falls short of explaining human well-being and economic development in the long run. Human development, by being a broader concept, includes not only economic growth but also education and health indicators. It, therefore, better indicates longer term economic development and human well-being of a country. Number of studies already point to a significant relationship between logistics performance and economic growth. This research investigates whether a similar relationship between logistics performance and human development exists and the mediator role of global connectedness, which is related to both concepts.  The purpose of this study, therefore, is to examine the mediator role of global connectedness in the relationship between logistics performance and human development. The results of the analysis show that global connectedness plays a partial mediator role in the relationship between logistics performance and human development.

scholarly journals Economic Freedom and the Process of Economic Growth: An Empirical Analysis Based on a New Measure

Competitio ◽  
2010 ◽  
Vol 9 (1) ◽  
pp. 5-30
Author(s):  
Judit Kapás ◽  
Pál Czeglédi
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Economic Freedom ◽  
Growth Process ◽  
Jel Classification ◽  
Regression Analyses ◽  
Long Run ◽  
Major Argument ◽  
Art For Art's Sake ◽  
The Relationship

This paper, relying on a conceptualization of economic freedom in terms of kinds of government actions, develops a new measure of economic freedom. However, this is not art for art’s sake; instead, it allows us to provide an explanation for how particular institutions of economic freedom enhance economic development, a view upon which scholars agree. We develop two concepts related to economic freedom, namely the freedom-compatible and freedom-non-compatible institutions and use them as tools in an analysis of the process of economic growth, especially the relationship between economic freedom and long-run income. The major argument is that freedom-compatible institutions are primary determinants of income, while freedom-non-compatible institutions depend upon them and are partly the outcomes of the growth process itself, a fact which is explained by the Misesian theory of interventionism. Our regression analyses support our theoretical insights. JEL Classification: B53, H10, O10

scholarly journals The Relationship Between Foreign Direct Investment Oriented Economic Growth in Uganda: An Empirical Study Based on VAR Model

2021 ◽  
Vol 4 (3) ◽  
Author(s):  
Nabyonga Barbra ◽  
◽  
Hina Nawaz
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Var Model ◽  
Vector Autoregressive Model ◽  
Causality Test ◽  
Vector Autoregressive ◽  
Long Run ◽  
The Relationship

The purpose of this paper is to investigate the relationship between Foreign Direct Investment (FDI) and Economic growth as measured by Gross Domestic Product (GDP) over Uganda, from 1980-2018. Vector Autoregressive Model (VAR) and Granger Causality test were used. The results show thatlag 1 is the optimal lag hence bivariate VAR (1) model was used. GDP and FDI exhibits long-term equilibrium since the two-time series are cointegrated in long run. The causality test indicates that there exists a unilateral relationship between FDI and GDP, and FDI causes GDP growth and not vice versa. Understanding these causality links can help in future forecasting of Uganda's economic growth.

Electricity consumption and economic growth in ASEAN

2017 ◽  
Vol 5 (2) ◽  
pp. 16
Author(s):  
Ahmad Ghazali Ismail ◽  
Arlinah Abd Rashid ◽  
Azlina Hanif
Keyword(s):  
Economic Growth ◽  
Energy Use ◽  
Electricity Consumption ◽  
Panel Estimation ◽  
Real Gdp ◽  
Long Run ◽  
Bidirectional Relationship ◽  
Short Run ◽  
Using Data ◽  
The Relationship

The relationship and causality direction between electricity consumption and economic growth is an important issue in the fields of energy economics and policies towards energy use. Extensive literatures has discussed the issue, but the array of findings provides anything but consensus on either the existence of relations or direction of causality between the variables. This study extends research in this area by studying the long-run and causal relations between economic growth, electricity consumption, labour and capital based on the neo-classical one sector aggregate production technology mode using data of electricity consumption and real GDP for ASEAN from the year 1983 to 2012. The analysis is conducted using advanced panel estimation approaches and found no causality in the short run while in the long-run, the results indicate that there are bidirectional relationship among variables. This study provides supplementary evidences of relationship between electricity consumption and economic growth in ASEAN.

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