Original scientific paper

A METHODICAL APPROACH TO RELATIVE PRICE ANALYSIS IN TOURISM

Niko Koncul ; University of Dubrovnik, Dubrovnik, Croatia

Abstract

This paper tries to establish a methodological framework for the analysis of export-import price relationship in selected tourist destinations in the Mediterranean. Due to the lack of reliable price data for a longer time series, the following analysis (based on indirectly derived variables) is restricted to the period 2000-2010. Classical economic theory suggests that under free trade conditions all participants are benefi ted by economic gains. However, further research in modern economics has proved that this hypothesis is only partially true. In this paper, the author tries to examine if the theory proves true in case of tourism and how the sectoral demand responds to changes in price and income.

Keywords

inbound/outbound tourism; Laspeyre’s indeks; total expenditure; income elasticity; price elasticity

Hrčak ID:

124024

URI

https://hrcak.srce.hr/124024

Publication date:

1.6.2013.

Article data in other languages: croatian

Visits: 1.751 *