Economic Effects from Change in Tourism Policy on an Island Economy
Global Journal of Business Research, v. 10 (3) p. 35-48
14 Pages Posted: 23 Feb 2017
Date Written: 2016
Taiwanese government adjusted its tourism policy toward Chinese people in 2008, hoping it would enhance its economic prosperity and create the employment. Motivated the economic effects generated by the relaxation of the policy were unclear, we have employed both the industry-related spillover model to examine the economic scale and the number of persons employed created, and to investigate the extent of the effect. Our findings were that the economic spillover effects were brief and transient. Nonetheless, it could overcome Taiwan’s economic challenges. Only through the sustainable management of the tourism-related industry could long-term economic effects be created.
Keywords: Tourism Policy Adjustments, Aviation Deregulation, Industry-Related Spillover Model, Spillover Effect, Employment Coefficient
JEL Classification: H29, R28, R38
Suggested Citation: Suggested Citation