Linking tourism flows and biological biodiversity in Small Island Developing States (SIDS): evidence from panel data.

Small Island Developing States (SIDS) are characterized by high levels of biodiversity that are under threat. Simultaneously, the tourism sector plays a key role in many of these economies. In this paper, the Hausman-Taylor estimator is used to investigate a tourism demand function in SIDS in which...

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Published in:Environment & Development Economics Vol. 18; no. 4; pp. 392 - 405
Main Authors: Teelucksingh, Sonja S., Watson, Patrick K.
Format: Article
Published: Cambridge University Press Aug2013
Subjects:
Online Access:View this record in EBSCOhost
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        10.1017/S1355770X13000120
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        atl: Linking tourism flows and biological biodiversity in Small Island Developing States (SIDS): evidence from panel data.
      aug:
        au:
          Teelucksingh, Sonja S.
          Watson, Patrick K.
        affil:
          Department of Economics, University of the West Indies, St Augustine, Trinidad & Tobago. Tel: + 1 868 662 2002 x 83231/3057/2398. Fax: + 1 868 662 6555; and Sir Arthur Lewis Institute of Social and Economic Studies, University of the West Indies, Trinidad & Tobago. Tel: + 1 868 662 6965. Fax: + 1 868 645-6329. E-mail: sonja.teelucksingh@sta.uwi.edu
          Sir Arthur Lewis Institute of Social and Economic Studies, University of the West Indies, Trinidad & Tobago. E-mail: patrick.watson@sta.uwi.edu
      su:
        Tourism & the environment
        Marine biodiversity
        Biodiversity research
        Analysis of covariance
        Developing countries
      sug:
        subj:
          Tourism & the environment
          Marine biodiversity
          Biodiversity research
          Analysis of covariance
          Developing countries
      ab: Small Island Developing States (SIDS) are characterized by high levels of biodiversity that are under threat. Simultaneously, the tourism sector plays a key role in many of these economies. In this paper, the Hausman-Taylor estimator is used to investigate a tourism demand function in SIDS in which marine and terrestrial biodiversity play a key role, in addition to the traditional economic and price variables. This estimator allows for both the presence of time-invariant variables, a standard feature of environmental data, and the existence of endogenous covariates. Levels of biodiversity are found to have a significant influence on tourism in SIDS and, in particular, a test for redundant variables shows that the biodiversity variables are jointly significant. This justifies their inclusion in a tourism demand function, over and above the conventional economic factors, and points to the importance of national and international policy in protecting the biodiversity of SIDS.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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