A note on the effectiveness of price policy on tourist arrivals to Greece

Helen Gazopoulou

No 144, Working Papers from Bank of Greece

Abstract: This paper aims at pointing out the adverse repercussions on the Greek travel industry resulting from the contradicting policy measures taken by the various governments due to the lack of a consistent strategy on tourism. The analysis takes as an example the reduction of the VAT from 11% down to 6.5% for hotel accommodation which has been followed by an increase of the VAT from 13% to 23% for certain categories of restaurant services. The paper concludes by underlining that the damage done is not so much the net negative impact of the two specific measures and their disappointing fiscal performance, as the adverse repercussions that they entail for the market through the confusion that they cause, thus discouraging both tourists as well as prospective foreign investors.

Keywords: Tourism; Current Account (search for similar items in EconPapers)
JEL-codes: L83 (search for similar items in EconPapers)
Pages: 16
Date: 2012-05
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://www.bankofgreece.gr/BogEkdoseis/Paper2012144.pdf Full Text (application/pdf)
Our link check indicates that this URL is bad, the error code is: 403 Forbidden

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bog:wpaper:144

Access Statistics for this paper

More papers in Working Papers from Bank of Greece Contact information at EDIRC.
Bibliographic data for series maintained by Anastasios Rizos ().