Economic Growth Led Tourism: with Special Reference to State Sikkim
The International Journal of Humanities & Social Studies
7 Pages Posted: 29 Dec 2020
Date Written: November 18, 2015
This study is an attempt to analyse tourism leading to economic development in the state of Sikkim. This study has obtained time series data of foreign tourist arrivals to Sikkim for the time period 1994-2014. The focal point of the study is to find out the causality between income and tourist visits to Sikkim. To discern the causality, this study uses statistical tools like unit root, Johansson’s Cointegration test, Vector error correction modelling, and impulse response function. Results from this study suggest that there is unidirectional causation where economic growth leads to tourism and not the other way round.
Keywords: Tourism industry, economic growth, granger causality
JEL Classification: Z32
Suggested Citation: Suggested Citation