The Contribution of Tourism Development to Economic Growth in the Iranian Provinces

Authors
Siab Mamipour
Kaveh Nazari
Abstract
Abstract:

The main objective of this paper is to estimate the tourism impact

on the economic growth of Iranian provinces over the period of

2000-2010. For achieving this aim, the panel data approach has

been used to the economic growth modeling. The empirical

findings show that tourist receipts have a positive impact on the

economic growth in Iranian provinces. It was found that a 10

percent increase in the spending of tourists leads to a 1 percent

increase in the GDP per capita. In addition, physical and human

capital has positive effects on economic growth, while

unemployment rate and consumer price index have negative effect

on the economic growth. Finally, the results of this study indicate

that the product elasticities are inelastic in Iran during the period of

2000-2010.
Keywords
Tourism Revenues
Economic Growth
Iranian Provinces
Panel data Approach
Business Innovations
Volume 1, Issue 1 - Serial Number 1
Autumn 2015
Pages 99-120