Tourism, Governance and Economic Growth in India
Abstract
This research work studied the relationship between tourism, governance quality and economic growth in India. It has been argued that the contribution of tourism sector expansion to the real economic growth significantly depends on the quality of governance that is prevalent in the country. The study empirically supports the existence of tourism-led growth hypothesis in Indian context while business confidence, economic freedom and regulatory quality have positive influences, and government effectiveness and corruption control have negative impacts on the economic growth over the sample period. Therefore, the study recommends for promoting polices which ensure business confidence, economic freedom and regulatory quality in the country. It is also suggested that the policies which ensure government effectiveness and control corruption be revisited, reframed, if required, and implemented more stringently along with the polices for effective monitoring and assessment.
References
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[30] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2016b. Socio-Economic Impacts of Tourism in India: An Empirical Analysis. Journal of Environmental Management and Tourism, 7(4): 762-768.
[31] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2016c. Trend and Progress of Tourism in India: An Empirical Analysis. International Journal of Economic Research, 13(5): 2265- 2275
[32] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2018. Empirics of Tourism-Led Growth in India, 1995 to 2016. Journal of Environmental Management and Tourism, 9(6): 1190-1201. DOI:https://doi.org/10.14505//jemt.v9.6(30).08
[33] Steyn, R. & Vuuren, J. V. 2016. The Relationship between Quality of Governance and Foreign Tourist Numbers. African Journal of Hospitality, Tourism and Leisure, 5(4): 1-10. DOI:https://doi.org/10.20885/ejem.vol10.iss1.art4
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[35] Tang, C.F. & Tan, E.C. 2015. Does tourism effectively stimulate Malaysia’s economic growth?, Tourism Management, 46:158-163. DOI: https://doi.org/10.1016/j.tourman.2014.06.020
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[2] Basiago, A. D. 1999. Economic, social, and environmental sustainability in development theory and urban planning practice. The Environmentalist, 19:145-161. DOI: https://doi.org/10.1023/A:1006697118620
[3] Bramwell, B. 2011. Governance, the State and Sustainable Tourism: A Political Economy Approach. Journal of Sustainable Tourism, 19(4-5): 459-477. DOI: https://doi.org/10.1080/09669582.2011.576765
[4] Brida, J. G., London, S., & Rojas, M. 2013. A dynamic model of tourism and economic growth: The role of physical and human capital. Economics Bulletin, 33(2): 1361-1373.
[5] Daryaei, A., Aliashrafipour, M., Eisapour, K. & Afsharian, M. 2012. The Effect of Good Governance on Tourism Industry Development. Advances in Environmental Biology, 6(7): 2046-2052
[6] Dickey, D.A. & Fuller, W.A. 1979. Distribution of the estimators for autoregressive time series with a unit root. Journal of the American Statistical Association, 74(366): 427-431. DOI: https://doi.org/10.2307/2286348
[7] Dickey, D.A. & Fuller, W.A. 1981. Likelihood ratio statistics for autoregressive time series with a unit root. Econometrica, 49(4): 1057-1072. DOI: https://doi.org/10.2307/1912517
[8] Gani, A. 2012. The relationship between good governance and carbon dioxide emissions: evidence from developing economies. Journal of Economic Development, 37(1): 77-93
[9] Hansen, B. E. 1992. Tests for Parameter Instability in Regressions with I(1) Processes. Journal of Business and Economic Statistics, 10: 321-335. DOI: https://doi.org/10.1080/07350015.1992.10509908
[10] Khan, A., Bibi, S., Lorenzo, A., Lyu, J. & Babar, Z. U. 2020. Tourism and development in developing economies: A Policy Implication Perspective, Sustainability, 12(1618): 1-19. DOI: https://doi.org/10.3390/su12041618
[11] Kumar, D. S., Sharma, R., & Kautish, P. 2018. Foreign Tourist Arrival in India: An Analytical Study on Seasonal Variations of Tourist Arrival and Its Impact on the Growth of Foreign Exchange Earnings. African Journal of Hospitality, Tourism and Leisure, 7(2): 1-10
[12] Mishra, P.K. & Rout, H.B. 2013. Economic Impact of Tourism: A Case Study of Jharkhand. International Journal of Economics and Managerial Thoughts, 3(2): 130-139
[13] Mishra, P.K. & Verma, J.K. 2017. Tourism and Peace in Economic Development Perspective of India. Journal of Environmental Management and Tourism, 8(4): 927-934
[14] Mishra, P.K. & Verma, J.K. 2018. Tourism in India: Potential, Problems and Prospects, (New Century Publications, New Delhi, India)
[15] Mishra, P.K. & Verma, J.K. 2019. Recent Trends in Tourism: Issues and Challenges, (New Delhi Publishers, New Delhi, India)
[16] Mishra, P.K., Rout, H.B. & Kestwal, A.K. 2019. Tourism-Energy-Environment-Growth Nexus: Evidence from India. Journal of Environmental Management and Tourism, 10(5): 1180-1191
[17] Mishra, P.K., Rout, H.B. & Kestwal, A.K. 2020. Tourism, Foreign Direct Investment and Economic Growth in India. African Journal of Hospitality, Tourism and Leisure, 9(1): 1-7
[18] Mishra, P.K., Rout, H.B. & Mohapatra, S. 2011. Causality between Tourism and Economic Growth: Empirical Evidence from India. European Journal of Social Sciences, 18: 518-527
[19] Mishra, P.K., Rout, H.B. & Pradhan, B.B. 2018. Seasonality in Tourism and Forecasting Foreign Tourist Arrivals in India. Iranian Journal of Management Studies, 11(4): 629-658
[20] Mishra, P.K., Rout, H.B. & Sanghamitra. 2016. Tourism in Odisha: An Engine of Long-Run Growth. Journal of Tourism Management Research, 3(2): 74-84. DOI: https://doi.org/10.18488/journal.31/2016.3.2/31.2.74.84
[21] Moscardo, G. 2011. The role of knowledge in good governance for tourism. In Laws, E., Richins, H. & Agrusa, J. (Eds.) Tourist destination governance: Practice, Theory and Issues. (Oxfordshire: CABI). pp: 67-68. DOI: https://doi.org/10.1079/9781845937942.0067
[22] Muhammad, F., Khan, A., Razzaq, N., & Karim, R. 2021. Influence of tourism, governance, and foreign direct investment on energy consumption and CO2 emissions: a panel analysis of Muslim countries. Environmental Science and Pollution Research, 28(1): 416-431. DOI: https://doi.org/10.1007/s11356-020-10502-y
[23] Nguyen, B. 2021. Does Local Environmental Governance Improve Tourism Companies' Performance? Evidence from Vietnam. Journal of Travel Research, (In Press). DOI:https://doi.org/10.1177/00472875211002653
[24] Ohlan, R. 2017. The relationship between tourism, financial development and economic growth in India. Future Business Journal, 3: 9-22. DOI: https://doi.org/10.1016/j.fbj.2017.01.003
[25] Padmasree, K., & Anchula, B. D. 2011. The Performance of the Indian Tourism Industry in the Era of Globalization – A Conventional Study. African Journal of Hospitality, Tourism and Leisure, 1(4): 1-4
[26] Pesaran, M. H., Shin, Y., & Smith, R. J. 2001. Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics, 16(3): 289-326. DOI: https://doi.org/10.1002/jae.616
[27] Phillips, P. C. B. & Hansen, B. E. 1990. Statistical Inference in Instrumental Variables Regression with I(1) Processes. The Review of Economic Studies, 57: 99-125. DOI: https://doi.org/10.2307/2297545
[28] Phiri, A. 2016. Tourism and Economic growth in South Africa: Evidence from linear and non-linear cointegration frameworks. Managing Global Transitions: International Research Journal, 14(1): 31-53.
[29] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2016a. Nexus between Tourism and Economic Growth: Empirical Evidence from Odisha, India. International Journal of Applied Business and Economic Research, 14(11), 7491-7513
[30] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2016b. Socio-Economic Impacts of Tourism in India: An Empirical Analysis. Journal of Environmental Management and Tourism, 7(4): 762-768.
[31] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2016c. Trend and Progress of Tourism in India: An Empirical Analysis. International Journal of Economic Research, 13(5): 2265- 2275
[32] Rout, H. B., Mishra, P. K. & Pradhan, B. B. 2018. Empirics of Tourism-Led Growth in India, 1995 to 2016. Journal of Environmental Management and Tourism, 9(6): 1190-1201. DOI:https://doi.org/10.14505//jemt.v9.6(30).08
[33] Steyn, R. & Vuuren, J. V. 2016. The Relationship between Quality of Governance and Foreign Tourist Numbers. African Journal of Hospitality, Tourism and Leisure, 5(4): 1-10. DOI:https://doi.org/10.20885/ejem.vol10.iss1.art4
[34] Suhel & Bashir, A. 2018. The role of tourism toward economic growth in the local economy, Economic Journal of Emerging Markets, 10(1): 32-39
[35] Tang, C.F. & Tan, E.C. 2015. Does tourism effectively stimulate Malaysia’s economic growth?, Tourism Management, 46:158-163. DOI: https://doi.org/10.1016/j.tourman.2014.06.020
[36] Yunis, E. 2009. Tourism and employment: An overview by UNWTO. In 5th UNWTO International Conference on Tourism Statistics (pp. 1-13).
[37] OECD. 2012. Tourism Governance in OECD Countries, in OECD Tourism Trends and Policies 2012, OECD Publishing, Paris. DOI: https://doi.org/10.1787/tour-2012-3-en
[38] OECD. 2018. Korea, in OECD Tourism Trends and Policies 2018, OECD Publishing, Paris. DOI:https://doi.org/10.1787/tour-2018-26-en
[39] UNWTO. 2011. Governance for Sustainable Tourism Development, Universidade do Algarve/UNWTO, Algarve, Portugal.
[40] WTTC. 2019. Travel & Tourism Economic Impact 2019: India, (Report Prepared by The Authority on World Travel & Tourism, London, U.K.)
Published
2021-03-29
How to Cite
MISHRA, P. K.; ROUT, Himanshu B.; CHAINI, S. R..
Tourism, Governance and Economic Growth in India.
Journal of Environmental Management and Tourism, [S.l.], v. 12, n. 2, p. 521-528, mar. 2021.
ISSN 2068-7729.
Available at: <https://journals.aserspublishing.eu/jemt/article/view/5974>. Date accessed: 15 nov. 2024.
doi: https://doi.org/10.14505//jemt.v12.2(50).21.
Section
Article
Copyright© 2024 The Author(s). Published by ASERS Publishing 2024. This is an open access article distributed under the terms of CC-BY 4.0 license.