Determinants of tourism demand for Western Balkans countries: a system generalized method of moments (GMM) approach
DOI:
https://doi.org/10.51798/sijis.v6i1.917Keywords:
tourism determinants, Western Balkans, System Generalized Method of Moments, tourism demandAbstract
This paper's main objective is to investigate some of the most important determinants of tourism demand for Western Balkans countries. In this regard, a system generalized method of moments model is estimated for a dataset covering 17 relevant source countries over the period from 2010 to 2022. Results reveal that income levels, geographic proximity, and the COVID-19 pandemic significantly influence tourism flows. For instance, higher GDP per capita in source countries positively impacts tourism demand, while the pandemic had a strongly negative effect. These findings contribute to the literature on dynamic tourism demand modelling and offer actionable insights into policymakers to enhance regional tourism strategies.
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