Tourism demand from Europe to Mexico, 2005-2018: A cointegration analysis

  • José César Lenin Navarro-Chávez
  • Mario Gómez
  • René Augusto Marín-Leyva
Palabras clave: tourism demand, panel data, cross section dependence, panel cointegration, causality


This paper analyzes tourism demand in the countries of Europe for Mexico from 2005 to 2018. Unit root and cointegration tests in panel data are applied. Results indicate that there is presence of unit roots in the variables. A long-term equilibrium relationship was found among tourism demand, real exchange rate, and income, and also there are bidirectional causality relationships between these variables. The positive relationship among the variables implies that a depreciation of the domestic currency and a higher level of income of the releasing countries would generate greater tourism demand in Mexico.


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