{"title":"The Effect of Natural Disasters on Hotel Demand, Supply and Labour Markets: Evidence from the La Palma Volcano Eruption","authors":"Veronica Leoni, David Boto-García","doi":"10.1007/s10640-023-00811-4","DOIUrl":null,"url":null,"abstract":"Abstract Natural disasters are an important deterrent factor for tourism activities from both supply and demand perspectives. This paper studies the short-term effect of a volcano eruption on hotel demand, supply and hospitality labour in La Palma (Spain), an island economy that is highly dependent on the tourism sector. Based on a monthly panel dataset, we employ seemingly unrelated difference-in-differences (SUR-DiD) to identify the distinct responses of these three outcomes both during and post eruption. We are particularly interested in examining the asymmetry in their elasticities to the shock, which serve as indicators of disaster resilience. Potential spillover effects on nearby islands are also examined. We find that the eruption resulted in significant yet asymmetrical drops in international demand, number of hotels opened, and hospitality workers hired. Our findings inform about the resilience of the tourism industry to natural disasters, offering relevant insights about heterogeneous effects depending on exposure to the event.","PeriodicalId":48299,"journal":{"name":"Environmental & Resource Economics","volume":"31 1","pages":"0"},"PeriodicalIF":3.2000,"publicationDate":"2023-10-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Environmental & Resource Economics","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1007/s10640-023-00811-4","RegionNum":3,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"ECONOMICS","Score":null,"Total":0}
引用次数: 0
Abstract
Abstract Natural disasters are an important deterrent factor for tourism activities from both supply and demand perspectives. This paper studies the short-term effect of a volcano eruption on hotel demand, supply and hospitality labour in La Palma (Spain), an island economy that is highly dependent on the tourism sector. Based on a monthly panel dataset, we employ seemingly unrelated difference-in-differences (SUR-DiD) to identify the distinct responses of these three outcomes both during and post eruption. We are particularly interested in examining the asymmetry in their elasticities to the shock, which serve as indicators of disaster resilience. Potential spillover effects on nearby islands are also examined. We find that the eruption resulted in significant yet asymmetrical drops in international demand, number of hotels opened, and hospitality workers hired. Our findings inform about the resilience of the tourism industry to natural disasters, offering relevant insights about heterogeneous effects depending on exposure to the event.
期刊介绍：
The primary concern of Environmental & Resource Economics (ERE) is the application of economic theory and methods to environmental issues and problems that require detailed analysis in order to improve management strategies. The contemporary environmental debate is in a constant state of flux and new or relatively unexplored topics are continually emerging. The Journal provides a forum for the further exploration of the causes, consequences and policy responses linked to these topics, across a range of spatial and temporal scales up to the global dimension. Contributions to the Journal should directly or indirectly be relevant to the policy formulation and application process. Areas of particular interest include: evaluation and development of instruments of environmental policy; cost-benefit and cost effectiveness analysis; sectoral environmental policy impact analysis; modelling and simulation; institutional arrangements; resource pricing and the valuation of environmental goods; environmental quality indicators. The editors wish to encourage a pluralistic approach to both theoretical and applied contributions. The publication of empirically based, policy-oriented research is given a high priority in the Journal in order to further critical discussion. Environmental & Resource Economics will also accept papers with an interdisciplinary approach, where this helps to improve knowledge of the real world complexities present, provided that the analysis retains links to or components of economic thinking. The Journal is required reading for economists, economic geographers and other academics, professionals and officials with a working interest in environmental matters.
京公网安备 11010802042870号
京ICP备2023020795号-1
分享
求助内容：
应助结果提醒方式：
扫码关注我们
