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GDP volatility implication of tourism volatility in South Africa

A time-varying approach

Datos Bibliográficos

ID21689720
AutoresChien-Chiang Lee (0000-0003-0037-4347, Nanchang University), Godwin Olasehinde‐Williams (0000-0002-3710-6146, Nanchang University, autor de correspondencia), Godwin O Olasehinde-Williams (Nanchang University), Ifedolapo Olabisi Olanipekun (0000-0002-9292-8740, Adeyemi College of Education, Nigeria)
Año2022
Volumen28
Número2
Páginas435-450
Fecha de publicación2022-03-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaTourism Economics (JOURNAL)
Identificadores de la revistaISSN: 1354-8166 • E-ISSN: 2044-0375
EditorialSAGE Publications (PUBLISHER • US)
DOI10.1177/1354816620970001
OpenAlexW3095833682
IdiomaEN
Citas recibidas5
Referencias citadas46

The importance of tourism as one of the bedrocks of economic growth in South Africa suggests that volatility in the sector may have dire consequences. We therefore empirically analyse the impact of tourism volatility (TV) on the gross domestic product (GDP) volatility of the country, using time-varying approaches that treat the parameter estimations as functions of time, thereby overcoming the challenge posed by parameter instabilities, non-linearities, non-stationarity, regime shifts and time variations. We find that TV significantly aggravates GDP volatility (GDPV) in South Africa. The impact varies from year to year and is greatest during the periods characterized by economic turbulence and crime and violence against foreigners. The size of the coefficients has been on a steady increase over time, reflecting the growing importance of tourism and TV to the South African economy. We also find that TV is a significant predictor of GDPV in the country. We strongly recommend that policymakers pay serious attention to economic happenings around the world since TV is one of the channels through which global economic crises affect the South African economy. We also recommend that the minimization of crime and social disorder should form an essential component of tourism development and promotion strategy in South Africa

Development economics · Econometrics · Economics · Geography · Gross domestic product · Macroeconomics · Monetary economics · Real gross domestic product · Tourism · Diverse Aspects of Tourism Research · Energy, Environment, Economic Growth · Market Dynamics and Volatility

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Obras citantes distintas5
Citas por año1,67
Intervalo de citas2023 - 2026 (4)
Velocidad de citacióncurrent
Altamente citadoNo
Tipos de citaNeutras: 5
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