Tourism demand and corruption: Are the impacts of relative corruption on international tourist arrivals in Thailand relevant?
Keywords:
relative corruption, tourism demand, Thailand, international tourism arrivalsAbstract
This article evaluates the impact of relative corruption on international tourist arrivals in Thailand using a generalized least squares estimator. We compile a panel dataset that consists of data from 29 countries from 2010 to 2017. The results suggest that relative corruption has a detrimental impact on international tourist arrivals. Moreover, the effect of relative corruption is greater as the distance of corruption between Thailand and the country of origin increases. As a consequence, tourist authorities should develop specific marketing strategies based on the relative levels of corruption exhibited in the tourist market. Furthermore, governments should build long-term and short-term tourism policies that aim at improving tourist perception of corruption in Thailand.
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Amornvivat, S., Charoenphon, V., Pruedsaradch, P., Bunsupaporn, K., & Akaraphanth, L. (2016). Thai Tourism: Sustaining Success [Report]. Siam Commercial Bank Public Company Limited, Economic Intelligence Center. https://www.scbeic.com/en/detail/product/2953
Balli, F., Balli, H. O., & Cebeci, K. (2013, Aug). Impacts of exported Turkish soap operas and visa-free entry on inbound tourism to Turkey. Tourism Management, 37, 186-192. https://doi.org/10.1016/j.tourman.2013.01.013
Cheng, K. M. (2012). Tourism demand in Hong Kong: income, prices, and visa restrictions. Current Issues in Tourism, 15(3), 167-181. https://doi.org/10.1080/13683500.2011.569011
Demir, E., & Gozgor, G. (2017, 2017/05/01). What about relative corruption? The impact of the relative corruption on the inbound tourism to Turkey. International Journal of Tourism Research, 19(3), 358-366. https://doi.org/10.1002/jtr.2118
Dogru, T., & Bulut, U. (2018, 2018/08/01/). Is tourism an engine for economic recovery? Theory and empirical evidence. Tourism Management, 67, 425-434. https://doi.org/https://doi.org/10.1016/j.tourman.2017.06.014
Dogru, T., Sirakaya-Turk, E., & Crouch, G. I. (2017, Jun). Remodeling international tourism demand: Old theory and new evidence. Tourism Management, 60, 47-55. https://doi.org/10.1016/j.tourman.2016.11.010
Driffield, N., Mickiewicz, T., Pal, S., & Temouri, Y. (2010, 04/01). Bridging the Gap? Corruption, Knowledge and Foreign Ownership.
Duanmu, J.-L. (2011, 03/08). The effect of corruption distance and market orientation on the ownership choice of MNEs: Evidence from China. Journal of International Management, 17, 162-174. https://doi.org/10.1016/j.intman.2011.01.003
ECA. (2017). Cost of living [White Paper]. ECA International. https://www.eca-international.com/insights/white-papers/november-2017/eca-global-perspectives-cost-of-living
Goel, R. K., & Nelson, M. A. (2005, 2005/06/01). ECONOMIC FREEDOM VERSUS POLITICAL FREEDOM: CROSS-COUNTRY INFLUENCES ON CORRUPTION*. Australian Economic Papers, 44(2), 121-133. https://doi.org/10.1111/j.1467-8454.2005.00253.x
Lee, S. (2015, Aug). Research note: Quality of government and tourism destination competitiveness. Tourism Economics, 21(4), 881-888. https://doi.org/10.5367/te.2014.0377
Li, G., Song, H. Y., Cao, Z., & Wu, D. C. (2013, Jun). How competitive is Hong Kong against its competitors? An econometric study. Tourism Management, 36, 247-256. https://doi.org/10.1016/j.tourman.2012.11.019
McMann, K. M., Seim, B., Teorell, J., & Lindberg, S. (2019, Jul 17). Why Low Levels of Democracy Promote Corruption and High Levels Diminish It. Political Research Quarterly. https://doi.org/Unsp 1065912919862054
10.1177/1065912919862054
Poprawe, M. (2015). A panel data analysis of the effect of corruption on tourism. Applied Economics, 47(23), 2399-2412. https://doi.org/10.1080/00036846.2015.1005874
Saha, S., Su, J. J., & Campbell, N. (2017, Feb). Does Political and Economic Freedom Matter for Inbound Tourism? A Cross-National Panel Data Estimation. Journal of Travel Research, 56(2), 221-234. https://doi.org/10.1177/0047287515627028
Sekkat, K., & Méon, P.-G. (2005, 01/01). Does Corruption Grease or Sand the Wheels of Growth? Public Choice, 122, 69-97. https://doi.org/10.1007/s11127-005-3988-0
Song, H., & Li, G. (2008, Apr). Tourism demand modelling and forecasting - A review of Recent research. Tourism Management, 29(2), 203-220. https://doi.org/10.1016/j.tourman.2007.07.016
Song, H., Witt, S. F., & Li, G. (2003, 2003/12/01). Modelling and Forecasting the Demand for Thai Tourism. Tourism Economics, 9(4), 363-387. https://doi.org/10.5367/000000003322663186
Song, H. Y., Gartner, W. C., & Tasci, A. D. A. (2012, Apr). Visa restrictions and their adverse economic and marketing implications - Evidence from China. Tourism Management, 33(2), 397-412. https://doi.org/10.1016/j.tourman.2011.05.001
Song, H. Y., Li, G., Witt, S. F., & Fei, B. G. (2010, Mar). Tourism demand modelling and forecasting: how should demand be measured? Tourism Economics, 16(1), 63-81. https://doi.org/Doi 10.5367/000000010790872213
Song, H. Y., Qiu, R. T. R., & Park, J. (2019, Mar). A review of research on tourism demand forecasting. Annals of Tourism Research, 75, 338-362. https://doi.org/10.1016/j.annals.2018.12.001
Stauvermann, P. J., & Kumar, R. R. (2017, Aug). Productivity growth and income in the tourism sector: Role of tourism demand and human capital investment. Tourism Management, 61, 426-433. https://doi.org/10.1016/j.tourman.2017.03.006
Tang, C. F. (2018). The impacts of governance and institutions on inbound tourism demand: evidence from a dynamic panel data study. Asia Pacific Journal of Tourism Research, 23(10), 1000-1007. https://doi.org/10.1080/10941665.2018.1513052
Tang, C. F., & Tan, E. C. (2016). The determinants of inbound tourism demand in Malaysia: another visit with non - stationary panel data approach. Anatolia-International Journal of Tourism and Hospitality Research, 27(2), 189-200. https://doi.org/10.1080/13032917.2015.1084345
Tang, J. J. (2018, Oct). Evaluation of the Forecast Models of Chinese Tourists to Thailand Based on Search Engine Attention: A Case Study of Baidu. Wireless Personal Communications, 102(4), 3825-3833. https://doi.org/10.1007/s11277-018-5413-2
Tang, Z. J. (2014, Nov). Sustainable Tourism and Property Rights: A Case Study on the World Heritage Site of Wulingyuan in China from the Perspective of Property Rights Economics. Historic Environment-Policy & Practice, 5(3), 275-287. https://doi.org/10.1179/1756750514z.00000000063
Yap, G., & Saha, S. (2013, //). Do Political Instability, Terrorism, and Corruption Have Deterring Effects on Tourism Development Even in the Presence of Unesco Heritage? A Cross-Country Panel Estimate. Tourism Analysis, 18(5), 587-599. https://doi.org/10.3727/108354213X13782245307911
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Published
2021-07-31
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Chulaphan, W., & Barahona Caceres, J. (2021). Tourism demand and corruption: Are the impacts of relative corruption on international tourist arrivals in Thailand relevant?. SOUTHEAST ASIAN JOURNAL OF ECONOMICS, 9(2), 101–121. Retrieved from https://so05.tci-thaijo.org/index.php/saje/article/view/249199
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