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The Impact of Tourism and Renewable Energy Use Over Economic Growth in Top 10 Tourism Destinations

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Strategies in Sustainable Tourism, Economic Growth and Clean Energy

Abstract

During the last six decades, economic growth has been closely influenced by tourism, energy use and environmental degradation. This connection has involved several effects over energy mix, like, for example, a rising share of renewable energy sources or more efficient management in the tourism industry, which has enhanced a sustainable economic growth with lower carbon emissions. To explore these effects over economic growth for a panel of Top 10 between 1995 and 2015, we explore the role of international tourism, renewable energy use and carbon emissions. The aim of this study is to validate the Tourism-Led Growth Hypothesis (TLGH) for selected Top 10 tourism destinations. Furthermore, how structural changes impact the energy mix and their effect over income levels is also tested via the driving mentioned above forces (i.e. renewable energy use, international tourism and CO2 emissions). Through FMOLS and DOLS econometric estimations, the TLGH is confirmed. The same methodology endorses the existence of a dampening effect which raise the moderation effect between renewable energy sources and carbon emissions over economic growth. Thus, a moderating effect of the promotion of renewable sources over economic growth, via scale effect, is also endorsed.

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Author information

Authors and Affiliations

  1. Department of Political Economy and Public Finance, Economic and Business Statistics and Economic Policy, University of Castilla-La Mancha, Ciudad Real, Spain

    Daniel Balsalobre-Lorente & José María Cantos-Cantos

  2. Polytechnic Institute of Santarém, Center for Advanced Studies in Management and Economics, Évora University, Évora, Portugal

    Nuno Carlos Leitão

  3. Center for African and Development Studies, Lisbon University, Lisbon, Portugal

    Nuno Carlos Leitão

  4. Department of Applied Economics, International Economy Institute, Institute of Tourism Research, University of Alicante, Alicante, Spain

    Oana M. Driha

Authors
  1. Daniel Balsalobre-Lorente
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  2. Nuno Carlos Leitão
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  3. Oana M. Driha
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  4. José María Cantos-Cantos
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Correspondence to Daniel Balsalobre-Lorente .

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Editors and Affiliations

  1. University of Castile-La Mancha, Cuenca, Cuenca, Spain

    Daniel Balsalobre-Lorente

  2. University of Alicante, Alicante, Spain

    Oana M. Driha

  3. Beijing Institute of Technology, Beijing, China

    Muhammad Shahbaz

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Balsalobre-Lorente, D., Leitão, N.C., Driha, O.M., Cantos-Cantos, J.M. (2021). The Impact of Tourism and Renewable Energy Use Over Economic Growth in Top 10 Tourism Destinations. In: Balsalobre-Lorente, D., Driha, O.M., Shahbaz, M. (eds) Strategies in Sustainable Tourism, Economic Growth and Clean Energy. Springer, Cham. https://doi.org/10.1007/978-3-030-59675-0_1

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