Oil prices, tourism income and economic growth: A structural VAR approach for European Mediterranean countries.

Chatziantoniou, I., Filis, G., Eeckels, B. and Apostolakis, A., 2013. Oil prices, tourism income and economic growth: A structural VAR approach for European Mediterranean countries. Tourism Management, 36, pp. 331-341.

Full text available as:

[img]
Preview
PDF
Tourism Management paper_GF.pdf

900kB

DOI: 10.1016/j.tourman.2012.10.012

Abstract

In this study, a Structural VAR model is employed to investigate the relationship among oil price shocks, tourism variables and economic indicators in four European Mediterranean countries. In contrast with the current tourism literature, we distinguish between three oil price shocks, namely, supply-side, aggregate demand and oil specific demand shocks. Overall, our results indicate that oil specific demand shocks contemporaneously affect inflation and the tourism sector equity index, whereas these shocks do not seem to have any lagged effects. By contrast, aggregate demand oil price shocks exercise a lagged effect, either directly or indirectly, to tourism generated income and economic growth. The paper does not provide any evidence that supply-side shocks trigger any responses from the remaining variables. Results are important for tourism agents and policy makers, should they need to create hedging strategies against future oil price movements or plan for economic policy developments.

Item Type:Article
ISSN:0261-5177
Uncontrolled Keywords:Oil price shocks, tourism income, economic growth, SVAR, European countries
Subjects:UNSPECIFIED
Group:Business School
ID Code:20576
Deposited By: Unnamed user with email symplectic@symplectic
Deposited On:23 Jan 2013 11:10
Last Modified:16 Jun 2014 14:31

Downloads

Downloads per month over past year

More statistics for this item...
Repository Staff Only -