Modeling tourism demand: A dynamic linear AIDS approach
Li, G, Song, H and Witt, SF (2004) Modeling tourism demand: A dynamic linear AIDS approach Journal of Travel Research, 43 (2). 141 - 150.
The linear almost ideal demand system (LAIDS), in both static and dynamic forms, is examined in the context of international tourism demand. The superiority of the dynamic error correction LAIDS compared to its static counterpart is demonstrated in terms of both the acceptability of theoretical restrictions and forecasting accuracy, using a data set on the expenditure of United Kingdom tourists in twenty-two Western European countries. Both long-run and short-run demand elasticites are calculated. The expenditure elasticities show that travelling to most major destinations in Western Europe appears to be a luxury for UK tourists in the long run. The demand for travel to these destinations by UK tourists is also likely to be more price elastic in the long run than in the short run. The calculated cross-price elasticites suggest that the substitution/complementarity effects vary from destination to destination.
|Divisions :||Faculty of Business, Economics and Law > Hospitality and Tourism Management|
|Identification Number :||10.1177/0047287504268235|
|Additional Information :||This is an author-prepared version of an article published in Journal of Travel Research, 43(2), 141-150.|
|Depositing User :||Mr Adam Field|
|Date Deposited :||27 May 2010 14:37|
|Last Modified :||23 Sep 2013 18:31|
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