Contribution of tourism to economic convergence in the European Union member states

Abstract

The main objective of this paper is to determine whether tourism contributes to the economic convergence in the EU member states. The starting point of the analysis is the theoretical concepts of σ-convergence and (conditional) β-convergence. For the purpose of examining the relationship between tourism and σ-convergence in the long and short term, the cointegration test is used. Additionally, panel analysis is used for testing the model of conditional convergence. In this model, tourism as a conditional factor is operationalised by monetary indicators (consumption components and capital investments) as well as by a non-monetary one (direct employment) based on the tourism satellite account methodological framework. The model also tests a range of economic, social and ecological impacts on tourism and the economic convergence. The results proved that, although there is a long-term and short-term relationship between tourism and the economic growth convergence, tourism does not contribute to the economic convergence in the European Union member states, at least not to the extent that was expected.

“Building back better”: the impact of the COVID-19 pandemic on the resilience of the hospitality and tourism industries

“…Recent technological applications in facilities (e.g. service robots and drones for food delivery; electrostatic sprays and ultraviolet light for cleaning) to improve social distancing have strengthened tourists’ positive attitudes toward travelling and leisure consumption and also enhanced customer trust in their chosen services (Jiang and Wen, 2020; Maher et al , 2022; Radić et al , 2021). In addition, the level of consumer trust toward tourism and hospitality organizations can significantly influence their decision-making, as pointed out by several scholars (Agag and Colmekcioglu, 2020; Colmekcioglu and Okumus, 2022).…”