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Tourism and regional income inequality: Evidence from China

Hengyun Li, Jason Li Chen, Gang Li and Carey Goh

Annals of Tourism Research, 2016, vol. 58, issue C, 81-99

Abstract: This study examines the role of tourism development in reducing regional income inequality in China. First, the theoretical foundation for how tourism affects regional income inequality is discussed. Second, based on the conditional convergence framework, this study proposes a spatiotemporal autoregressive model to capture spatial and temporal dependence as well as spatial heterogeneity. Tourism development is introduced as a conditional convergence factor in an attempt to examine whether the convergence speed is accelerated by regional tourism development. Third, the effects of international and domestic tourism in narrowing regional inequality are compared both globally and locally. The empirical results indicate that tourism development contributes significantly to the reduction of regional inequality, with domestic tourism making a greater contribution than international tourism.

Keywords: Tourism development; Regional inequality; Domestic tourism; International tourism; Spatial analysis; Local spatiotemporal autoregressive model (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (44)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:anture:v:58:y:2016:i:c:p:81-99

DOI: 10.1016/j.annals.2016.02.001

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