The dynamic effects of globalization process in analysing N-shaped tourism led growth hypothesis
Journal of Hospitality and Tourism Management, vol.43, pp.42-52, 2020 (SSCI, Scopus)
- Publication Type: Article / Article
- Volume: 43
- Publication Date: 2020
- Doi Number: 10.1016/j.jhtm.2020.02.005
- Journal Name: Journal of Hospitality and Tourism Management
- Journal Indexes: Social Sciences Citation Index (SSCI), Scopus, CAB Abstracts, Hospitality & Tourism Index, Psycinfo, DIALNET
- Page Numbers: pp.42-52
- Keywords: CO2 emissions, Energy use, Globalization, Tourism-led growth hypothesis
- Open Archive Collection: Article
- Azerbaijan State University of Economics (UNEC) Affiliated: Yes
Abstract
This paper validates the tourism-led growth hypothesis for a panel of selected OECD countries, including the effects of per capita CO2, globalization and energy use during the period 1994–2014. The long-term relationship between economic growth and the above-mentioned variables is confirmed by applying unit root tests and cointegration approaches. The Generalized Method of Moments (GMM) methodology confirms a N-shaped relationship between international tourism and per capita economic growth. Globalization does not appear to be very effective in the short run for promoting economic growth; its impact on growth is determined through a finite-lag distribution, as the optimal effect can only be achieved in the long term. A direct relationship is detected between economic growth, energy use and globalization. The recommendation is to reshape regulatory frameworks with a clearer focus on promoting international tourism and more efficient energy use as a means of enhancing sustainable economic growth in developed countries. The empirical results reveal that fossil fuels account for a large part of the energy mix, so policy makers should consider reinforcing the promotion of clean energy sources and the use of more efficient processes.