JOURNAL OF APPLIED BUSINESS AND ECONOMICS
Estimating Tourism Import Demand Elasticities for Four Countries Using the General-to-specific Approach
Author(s): Ibrahim Mohammed
Citation: Ibrahim Mohammed, (2019) "Estimating Tourism Import Demand Elasticities for Four Countries Using the General-to-specific Approach," Journal of Applied Business and Economics, Vol. 21, Iss.3, pp. 65-78
Article Type: Research paper
Publisher: North American Business Press
Abstract:
This paper applied the general-to-specific econometric modelling technique to estimate demand for
tourism imports and the corresponding elasticities for four countries: Australia; Canada; Japan and
USA. The findings indicate that tourism imports are generally income and price elastic with values
ranging from 1.476 to 1.783 for income elasticity and -1.201 to -1.721 for price elasticity. Furthermore,
the findings reveal that, after controlling for seasonality in the data, demand for tourism import is
influenced by global financial crisis, disasters and country-specific problems. These findings have
important implications for tourism import management, especially in the broader context of promoting
tourism imports.