Prospects and Limits of Tourism-Led Growth: The International Evidence

Adamos Adamou () and Sofronis Clerides
Additional contact information
Adamos Adamou: University of Cyprus, Cyprus

Working Paper series from Rimini Centre for Economic Analysis

Abstract: We investigate the relationship between tourism specialization and economic growth. We deviate from previous studies - which have reported mixed evidence - by allowing the relationship to take a nonlinear form. We find that tourism specialization is associated with higher rates of economic growth at relatively low levels of specialization but eventually diminishing returns set in and tourism's contribution becomes minimal. The policy lesson is that there is promise for tourism-led growth in developing countries but other economic activities must also be developed in order to carry the economy forward once the potential of tourism-led growth has been exhausted.

Keywords: tourism; tourism specialization; economic growth (search for similar items in EconPapers)
JEL-codes: F43 O57 (search for similar items in EconPapers)
Date: 2009-01
References: Add references at CitEc
Citations: View citations in EconPapers (18)

Downloads: (external link)
http://www.rcea.org/RePEc/pdf/wp41_09.pdf

Related works:
Journal Article: Prospects and Limits of Tourism-Led Growth: The International Evidence (2010)
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:rim:rimwps:41_09

Access Statistics for this paper

More papers in Working Paper series from Rimini Centre for Economic Analysis Contact information at EDIRC.
Bibliographic data for series maintained by Marco Savioli ().