Research Article

ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES

Volume: 4 Number: 1 March 30, 2017
Journal of Economics Finance and Accounting Cover
Journal of Economics Finance and Accounting
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ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES

Abstract

Purpose- The purpose of this study is to investigate the effects of tourism and public fiscal mechanisms on economic growth by using panel data of 41 countries which are classified as Upper and Lower Middle-Income Countries by World Bank from 1996 to 2014.

Methodology- In order to accomplish this objective, we utilize both the static panel data approach and dynamic generalized method of moments (GMM) techniques to examine the impacts of explanatory variables on the dependent variable.

Findings- Our findings indicate that specialization in tourism per se or relying just on the public expenditure may have a significant negative effect on GDP per capita growth in developing countries. On the other hand, our study strongly supports the positive effects of openness and female workforce. But growing population and labor force participation rate -which are also statistically significant-, led per capita growth through to the undesired risky levels in the economy.

Conclusion- Contrary to consensus and expectations, our estimation results reveal the need for some structural changes or reforms both in public spending and tourism-led growth strategies in the long run.

Keywords

References

  1. Adamou, A., Clerides, S., (2010). Prospects and Limits of Tourism-Led Growth: The International Evidence, Review of Economic Analysis, 3, 287-303.
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  4. Arellano, M., Bover, O., (1995). Another Look at The Instrumental Variable Estimation of Error-Components Models, Journal of Econometrics, 68: 29-51.
  5. Arısoy, İ., (2005). Wagner ve Keynes Hipotezleri Çerçevesinde Türkiye’de Kamu Harcamaları ve Ekonomik Büyüme İlişkisi, Ç.Ü. Sosyal Bilimler Enstitüsü Dergisi, Cilt 14, Sayı 2, 2005, s.63-80.
  6. Baldemir, E., Keskiner, A., (2004). Devalüasyon, Para, Reel Gelir Değişkenlerinin Dış Ticaret Üzerine Etkisinin Panel Data Yöntemiyle Türkiye İçin İncelenmesi, Dokuz Eylül Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, Cilt 6, Sayı:4, 2004, 44-59.
  7. Balaguer, J., Cantavella-Jorda M., (2002). Tourism as a Long-Run Economic Growth Factor: the Spanish Case, Applied Economics, 34, 877–884.
  8. Balıkçıoğlu, E., Oktay, K., (2015). Türkiye’de Turizm Gelirleri ve Ekonomik Büyüme İlişkisinin Kamu Politikaları Doğrultusunda Değerlendirilmesi, Sosyoekonomi, Vol. 23(25), 113-125.

Details

Primary Language

English

Subjects

-

Journal Section

Research Article

Authors

Publication Date

March 30, 2017

Submission Date

January 2, 2017

Acceptance Date

-

Published in Issue

Year 2017 Volume: 4 Number: 1

DOI

https://doi.org/10.17261/Pressacademia.2017.363

IZ

https://izlik.org/JA76WB82CN

Cite

RIS / Bibtex
APA
Esener, S. C., & Karadag, Y. (2017). ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES. Journal of Economics Finance and Accounting, 4(1), 25-36. https://doi.org/10.17261/Pressacademia.2017.363
AMA
1.Esener SC, Karadag Y. ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES. JEFA. 2017;4(1):25-36. doi:10.17261/Pressacademia.2017.363
Chicago
Esener, S. Cagri, and Yaprak Karadag. 2017. “ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES”. Journal of Economics Finance and Accounting 4 (1): 25-36. https://doi.org/10.17261/Pressacademia.2017.363.
EndNote
Esener SC, Karadag Y (March 1, 2017) ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES. Journal of Economics Finance and Accounting 4 1 25–36.
IEEE
[1]S. C. Esener and Y. Karadag, “ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES”, JEFA, vol. 4, no. 1, pp. 25–36, Mar. 2017, doi: 10.17261/Pressacademia.2017.363.
ISNAD
Esener, S. Cagri - Karadag, Yaprak. “ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES”. Journal of Economics Finance and Accounting 4/1 (March 1, 2017): 25-36. https://doi.org/10.17261/Pressacademia.2017.363.
JAMA
1.Esener SC, Karadag Y. ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES. JEFA. 2017;4:25–36.
MLA
Esener, S. Cagri, and Yaprak Karadag. “ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES”. Journal of Economics Finance and Accounting, vol. 4, no. 1, Mar. 2017, pp. 25-36, doi:10.17261/Pressacademia.2017.363.
Vancouver
1.S. Cagri Esener, Yaprak Karadag. ARE THE TOURISM LED-GROWTH AND PUBLIC EXPENDITURE STRATEGIES COUNTERACT IN THE LONG-RUN: A FURTHER INVESTIGATION ON DEVELOPING COUNTRIES. JEFA. 2017 Mar. 1;4(1):25-36. doi:10.17261/Pressacademia.2017.363

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