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Tourist arrivals, energy consumption and pollutant emissions in a developing economy–implications for sustainable tourism (Discussion Paper Series N 2018-10)

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Nepal, R, al Irsyad, MI and Nepal, SK 2018 , Tourist arrivals, energy consumption and pollutant emissions in a developing economy–implications for sustainable tourism (Discussion Paper Series N 2018-10).

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Abstract

Sustainable tourism management policies should aim at maximising economic benefits from
tourist arrivals while minimizing associated adverse impacts on the environment. This study
assesses the short‐run and long‐run relationships between tourist arrivals, per capita economic output, emissions, energy consumption and capital formation, citing Nepal as a specific case study. We developed four hypotheses and tested them using time‐series econometrics based on the autoregressive distributed lag model and Granger causality tests. The results provide strong evidence of an economy driven tourism sector where expansion in economic output leads to expansion in tourist arrivals. More tourist arrivals, in turn, generate positive impacts on gross capital formation. Energy consumption negatively affects tourist
arrivals, calling for increased attention towards improving energy efficiency and energy
diversity. We conclude that national policies to increase tourist arrivals should be integrated
with national energy and environmental policies in order to facilitate the transition towards
a sustainable tourism sector.

Item Type: Report (Discussion Paper)
Authors/Creators:Nepal, R and al Irsyad, MI and Nepal, SK
Keywords: sustainable tourism; autoregressive distributed lag (ARDL); Granger causality; energy consumption; climate change
Publisher: University of Tasmania
Copyright Information:

Copyright 2018 University of Tasmania

Additional Information:

JEL classification: Z32; Z38; C32

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