A panel cointegration analysis of economic integration and tourism exports in ASEAN countries

Document Type

Journal Article

Faculty

Faculty of Business and Law

School

School of Accounting, Finance and Economics

RAS ID

12881

Comments

Yap, G. (2011). A panel cointegration analysis of economic integration and tourism exports in ASEAN countries. International Journal of Business Studies, 19(4), 91-107. Available here

Abstract

The economic cooperation between South East Asian countries has contributed remarkable mutual benefits to the overall economic growth in the Asian regions. In particular, Northern Asia such as China, Japan and South Korea have been actively boosting the economies in the ASEAN members through foreign direct investments and trade. Furthermore, strong business ties among these countries have encouraged more business persons to travel within the region for business and, possibly, for leisure purposes. This paper examines the existence of long-run relationships between economic integration and tourism exports for nine selected ASEAN States jor the period 1996-2007. I employ tourist arrivals data as a proxy jar tourism exports and trade ratios as a proxy for the economic integration Using Johansen's Fisher panel cointegration test, the findings show that tourist arrivals and trade ratios are cointegrated in four out of nine Southeast Asia countries. Hence, there is weak evidence that economic integration has significant influences on tourism exports in ASEAN.

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