Causality between Oil Prices and Tourist Arrivals

Date

2018-10-20

Advisors

Journal Title

Journal ISSN

ISSN

2571-905X

Volume Title

Publisher

MDPI

Type

Article

Peer reviewed

Yes

Abstract

This paper investigates the causal relationship between oil price and tourist arrivals to further explain the impact of oil price volatility on tourism-related economic activities. The analysis itself considers the time domain, frequency domain, and information theory domain perspectives. Data relating to the US and nine European countries are exploited in this paper with causality tests which include the time domain, frequency domain, and Convergent Cross Mapping (CCM). The CCM approach is nonparametric and therefore not restricted by assumptions. We contribute to existing research through the successful and introductory application of an advanced method and via the uncovering of significant causal links from oil prices to tourist arrivals.

Description

open access journal

Keywords

oil price, tourist arrivals, causality detection, convergent cross mapping

Citation

Huang, X., Silva, E. and Hassani, H. (2018) Causality between Oil Prices and Tourist Arrivals. Stats. 1 (1), pp. 134-154

Rights

Research Institute

Institute for Applied Economics and Social Value (IAESV)