Income elasticity of demand for tourism at Fulufjället National Park

Peter Fredman and Daniel Wikström
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Peter Fredman: Norwegian University of Life Sciences, Norway
Daniel Wikström: Dalarna University, Sweden

Tourism Economics, 2018, vol. 24, issue 1, 51-63

Abstract: National Parks are significant markers in the tourism attraction system and represent an important supply of recreation opportunities for the clients of the nature-based tourism industry. In this study, we analyze income elasticities among visitors from two major nationalities at Fulufjället National Park (FNP)—a cross-boundary park between Sweden and Norway—to see if this tourism product is a luxury or not. Modeling demand with a Tobit model, we find that visiting this National Park is close to a luxury, but results also show that elasticities differ across both income and nationality: FNP is more likely to be a luxury good among low-income Germans and high-income Swedes. The article concludes with a discussion on policy and management implications from these results.

Keywords: expenditure; income elasticity; national park; tourism (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:sae:toueco:v:24:y:2018:i:1:p:51-63

DOI: 10.1177/1354816617724012

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