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Do geopolitical risks matter for inbound tourism?

Ender Demir (), Giray Gözgör () and Sudharshan Reddy Paramati ()

Eurasian Business Review, 2019, vol. 9, issue 2, No 4, 183-191

Abstract: Abstract This paper aims to analyze the impact of geopolitical risks measured by a new index of geopolitical risk (GPR) on inbound tourism. For this purpose, we use the fixed-effects and the least squares dummy variable corrected estimations for panel data of 18 countries for the period from 1995 to 2016. We find that geopolitical risks negatively affect inbound tourism. We also implement various robustness checks, such as introducing control variables, considering the lagged effect of the GPR, and utilizing different econometric techniques.

Keywords: Geopolitical risks; Inbound tourism; Tourism demand; Developing economies; Panel data estimation techniques (search for similar items in EconPapers)
JEL-codes: F50 Z32 C33 (search for similar items in EconPapers)
Date: 2019
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DOI: 10.1007/s40821-019-00118-9

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