Is the tourism-led growth hypothesis valid for malaysia? a view from disaggregated tourism markets

Chor Foon Tang

146 citations0/0 files storedInternational Journal of Tourism Research

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Diverse Aspects of Tourism Research Energy, Environment, Economic Growth Hospitality and Tourism Education

Abstract

This research note attempts to re-investigate the validity of tourism-led growth hypothesis for Malaysia based on the data set of 12 different tourism markets from January 1995 to February 2009. The error-correction modelling-based cointegration test shows that economic growth and international tourist arrivals are cointegrated for all tourism markets. Nevertheless, the Granger causality results demonstrate that not all international tourism markets Granger-cause economic growth. Therefore, identification of potential tourism markets is vital for implementing effective tourism marketing policies. Copyright © 2010 John Wiley & Sons, Ltd.

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References

1982Trends and random walks in macroeconmic time series 1988Some recent development in a concept of causality 1992THE POWER OF COINTEGRATION TESTS 2003The contribution of tourism development to economic growth in the Korean economy 1986EXPLORING EQUILIBRIUM RELATIONSHIPS IN ECONOMETRICS THROUGH STATIC MODELS: SOME MONTE CARLO EVIDENCE*2005Tourism expansion and economic development: The case of Taiwan 2005Is the tourism-led growth hypothesis valid for Turkey?1995Importance of tourism for the economy of Bermuda

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