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Theoretical and Applied Economics
No. 1 / 2023 (634), Spring

The effects of geopolitical risks on tourism revenues of the Middle East and Asian countries

Ismet GOCER
University of Szeged, Hungary
Peter KOVACS
University of Szeged, Hungary

Abstract. In this study; the effects of Geopolitical Risks (GPR) on tourism revenue of the Middle East and Asia countries were examined by using panel data analysis under the cross-section dependency for the 1995-2021 period. According to the results, GPR has negative effects on tourism income in China, Hong Kong, India, Malaysia and Korea. Relative prices have a positive effect on tourism income in Indonesia, Malaysia, S. Arabia and Thailand. There are causality relations between GPR to tourism income in China, Hong Kong, Israel, Malaysia, Philippines, Russia, Korea and Thailand. Relative prices affect the tourism income in China, Hong Kong, Israel, Malaysia, Thailand and Turkey.

Keywords: geopolitical risk index, tourism revenue, panel data analysis under the cross-sectional dependence.

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The Economicity. The Epistemic Landscape, Marin Dinu, 2016

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