Search results

1 – 3 of 3
Content available
Article
Publication date: 1 May 2019

150

Abstract

Details

British Food Journal, vol. 121 no. 1
Type: Research Article
ISSN: 0007-070X

Open Access
Article
Publication date: 9 April 2021

Kurtulus Bozkurt, Hatice Armutçuoğlu Tekin and Zeliha Can Ergün

This study aims to measure the relationship between demand and exchange rate shocks in the tourism industry.

1584

Abstract

Purpose

This study aims to measure the relationship between demand and exchange rate shocks in the tourism industry.

Design/methodology/approach

A panel data set is constructed covering the period between 1995 and 2017, and the data set includes the top 26 countries that host 10 million tourists and above in the world as of 2017. The standard errors of the series are used as an indicator of shocks. First, the cross-sectional dependency, stationarity and the homogeneity of the series are examined; second, a panel cointegration analysis is implemented; third, long-term panel cointegration coefficients are analyzed with Dynamic Common Correlated Effects (DCCE) approach; and, finally, Dumitrescu and Hurlin’s (2012) Granger non-causality test is used to detect the causality.

Findings

The preliminary analyses show that the variables are cross-sectional dependent and heterogeneous and are stationary in their first difference; hence, the effects of the shocks are temporary. On the other hand, as a result of the panel cointegration analysis, it is found that both series are cointegrated over the long-term. However, the long-term coefficients estimated with the DCCE approach are found not to be statistically significant. Finally, as a result of the Dumitrescu and Hurlin’s (2012) Granger non-causality test, it is concluded that there is a causality running from exchange rate shocks to demand shocks.

Originality/value

To the best of the authors’ knowledge, the cointegration between the tourism demand shocks and exchange rates shocks has not been investigated before, and therefore, this study is considered to be a pioneering study that will contribute to the literature.

Details

Applied Economic Analysis, vol. 29 no. 86
Type: Research Article
ISSN:

Keywords

Content available
Book part
Publication date: 4 July 2019

Abstract

Details

Contemporary Issues in Behavioral Finance
Type: Book
ISBN: 978-1-78769-881-9

Access

Only content I have access to

Year

Content type

1 – 3 of 3