Tourism-led economic growth in Montenegro and Slovenia

Abstract

This article expounds one of the first attempts to explore the relationship between tourist arrivals and gross domestic product (GDP) in Montenegro and Slovenia. Both countries are newcomers on the tourist destinations map, derived from what was previously Yugoslav republics existing as a singular emerging tourist destination. Data vector for empirical analysis covers quarterly change of GDP at constant prices and monthly data for tourist arrivals during January 2010 -December 2019 as an endogenous variable. The cointegration is used in the modelling structure. The empirical results confirm research hypothesis of uni-causal relationship of economic growth-led domestic tourism growth in Montenegro and one cointegrated vector. No cointegration vector was confirmed for Slovenia. These results are important for research, policymakers and tourism practice. Considering that, tourism and economic growth have a different distribution of causalities during the expansion period with a boost of tourist arrivals and vice versa during the economic downturn.

The Tourism-Led Growth Hypothesis in Transition Economies? Empirical Evidence From a Panel Data Analysis

“…Our empirical finding also helps to expand the previous results of in transition countries in the European region such as Payne and Mervar (2010) in Croatia, Surugiu and Surugiu (2013) in Romania, Gričar et al (2021) in Montenegro and Slovenia, and in the Asian region such as Trang et al (2014). Besides, our empirical result is the opposite of the previous result from Laos (a transition economy in Asia), because this economy had not confirmed the tourism-led growth hypothesis for the period of 1992-2014 (Kyophilavong et al, 2018).…”

“…There are some studies that show a positive impact of tourism on economic growth and confirm the tourism-led growth hypothesis in the countries (Tugcu, 2014). However, tourism-led growth has been not found in some empirical studies, such as Kyophilavong et al (2018) in Laos or Gričar et al (2021) in Slovenia. Besides, global economic-financial crises or global pandemics have highlighted the potential risks of the tourism-led growth model for the applied countries when their economies close link with international value chains of the global tourism industry (Weidenfeld, 2013;Aratuo and Etienne, 2019).…”

“…The estimated results primarily show positive relationships between tourism and economic growth for these countries. Gričar et al (2021) investigate the tourism-led economic growth in Montenegro and Slovenia, which are considered like newcomers on the international tourist destinations map. The empirical database is a monthly form in the period of 2010-2019. as an endogenous variable.…”

Investigating the nexus between CO 2 emissions, economic growth, energy consumption and pilgrimage tourism in Saudi Arabia

“…Empirical studies in the literature mainly focus on the economic growth effects of tourism in general terms (Aslan, 2014(Aslan, , 2016Bilen et al, 2017;Brida et al, 2015;Gricar et al, 2021;Habibi et al, 2018;Haller et al, 2021;Kim et al, 2006;Seetanah, 2011). In addition to these, tourism, energy and carbon emissions link has also been the subject of various studies (Adedoyin et al, 2021;Ahmad et al, 2018;Azam et al, 2018;Chishti et al, 2020;Is ¸ı k et al, 2017;Jebli et al, 2014;Pablo-Romero et al, 2019;Sharif et al, 2017Sharif et al, , 2020aSharif et al, , 2020bTang & Abosedra, 2014;Tiwari et al, 2013;Xiangyu et al, 2021).…”

Recovery of Slovenian Tourism After Covid-19 and Ukraine Crisis

“…However, its importance has grown over the years ( There are many studies on the importance of tourism to an economy (Archer, 1995;Archer & Fletcher, 1996;Kruczek & Mazanek, 2019;Tokhirovich, 2021). There are also Slovenian studies (Gričar et al, 2021;Pantić & Milojević, 2019;Raspor et al, 2020). Tourism has its most immediate impact on gross state product, followed in a few months by personal income.…”