Template-type: ReDIF-Paper 1.0
Author-Name: Chia-Lin Chang
Author-Email: changchialin@nchu.edu.tw
Author-Person: pch286 
Author-Workplace-Name: Department of Applied Economics, Department of Finance, National Chung Hsing University
	Taichung, Taiwan
Author-Name: Thanchanok Khamkaew 
Author-Workplace-Name: Faculty of Economics, Maejo University, Thailand 
Author-Name: Michael McAleer
Author-Person: pmc90 
Author-Workplace-Name: Econometric Institute, Erasmus School of Economics, Erasmus University Rotterdam and Tinbergen Institute,
	The Netherlands, Department of Quantitative Economics, Complutense University of Madrid, and Institute of
	Economic Research, Kyoto University
Title: Estimating Price Effects in an Almost Ideal Demand Model of Outbound Thai Tourism to East Asia
Abstract: This paper analyzes the responsiveness of Thai outbound tourism to East Asian destinations, namely 
	China, Hong Kong, Japan, Taiwan and Korea, to changes in effective relative price of tourism, total real 
	total tourism expenditure, and one-off events. The nonlinear and linear Almost Ideal Demand (AID) models 
	are estimated using monthly data to identify the price competitiveness and interdependencies of tourism 
	demand for competing destinations in both long run (static) and short run error correction (dynamic) 
	specifications. Homogeneity and symmetry are imposed in the long run and short run AID models to estimate 
	the elasticities. The income and price elasticities provide useful information for public and private 
	tourism agents at the various destinations to maintain and improve price competitiveness. The empirical 
	results show that price competitiveness is important for tourism demand for Japan, Korea and Hong Kong 
	in the long run, and for Hong Kong and Taiwan in the short run.
Classification-JEL: C3, C5, D12, L83.
Keywords: Almost Ideal Demand (AID) model, Tourism demand, Price competitiveness, Substitutes, Budget shares, 
	Error correction.
Length: 48 pages 
Creation-Date: 2012 
Number: 2012-02 
X-File-Ref: http://america.sim.ucm.es/repec/ucm/ref/doicae1202.txt
File-URL: https://eprints.ucm.es/id/eprint/14092/1/1202.pdf
File-Format: Application/pdf
Handle: RePEc:ucm:doicae:1202