To read the full version of this content please select one of the options below:

A Binary Choice Model of Foreign Holiday Demand

Stephen P. Witt (Lecturer in Econometrics, Management Centre, University of Bradford, Bradford, UK)

Journal of Economic Studies

ISSN: 0144-3585

Article publication date: 1 January 1983

Downloads
76

Abstract

A binary choice model explaining the distribution of holidays abroad undertaken by UK residents is constructed and estimated. The foreign holiday demand function is generated from a comparison of holiday costs and benefits, and stochastic behaviour is permitted. In addition, the effects of incomplete knowledge on holiday choice are incorporated in the model. It is shown that the empirical results support the theoretical framework and that the £50 foreign currency limit imposed by the British Government between 1966 and 1969 resulted in a shift in the distribution of foreign holidays.

Citation

Witt, S.P. (1983), "A Binary Choice Model of Foreign Holiday Demand", Journal of Economic Studies, Vol. 10 No. 1, pp. 46-59. https://doi.org/10.1108/eb002551

Publisher

:

MCB UP Ltd

Copyright © 1983, MCB UP Limited