TITLE:
Tourism and Economic Growth: A Comparative Study for Two Emerging Countries
AUTHORS:
Antonios Adamopoulos
KEYWORDS:
Economic Growth, Tourism Growth, System Equation Model, Monte Carlo Simulation, Sensitivity Analysis
JOURNAL NAME:
Theoretical Economics Letters,
Vol.13 No.2,
March
14,
2023
ABSTRACT: This paper aims at investigating the interrelation between economic and
tourism growth, by making use of a system equation model for two most emerging
countries China and Mexico covering the time period from 1995 to 2017.
Seemingly unrelated regression estimation (SURE) method is selected for estimation of the structural system equation
model. Finally, a Monte Carlo simulation method is applied for
sensitivity analysis of the regression model. Tourism
growth affects economic growth positively and statistical significantly
in two emerging countries such as China and Mexico based on tourism-led growth
theory.