The Relationship between Foreign Direct Investment and Tourism: Empirical Evidence from China

Sumei Tang, E.A. Selvanathan and Saroja Selvanathan
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Sumei Tang: Department of International Business and Asian Studies, Griffith University, Queensland, Australia
E.A. Selvanathan: Department of International Business and Asian Studies, Griffith University, Queensland, Australia
Authors registered in the RePEc Author Service: Eliyathamby Antony Selvanathan

Tourism Economics, 2007, vol. 13, issue 1, 25-39

Abstract: This paper investigates the causal link between foreign direct investment and tourism in China by employing the Granger causality test under a VAR framework proposed by Zapata and Rambaldi (1997). Only a one-directional causality is found from foreign direct investment to tourism. This explains the rapid growth in the tourism market in China during the past decade.

Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:sae:toueco:v:13:y:2007:i:1:p:25-39

DOI: 10.5367/000000007779784498

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