A panel data regression analysis of the determinants of tourist arrivals in the Philippines using quarterly data from 1991-2004

• Main Authors: Alcid, Jude Miguel, Chan, Rani Erika, Leong, Gladys Anne
• Format: text
• Language: English
• Published: Animo Repository 2005
• Subjects: Tourist trade > Philippines; Economics
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/9326
• Institution: De La Salle University

The Philippine's tourism potential is acknowledged to be significant since it accounts to approximately 40% of the national income. However, the tourism sector in the country proves to be highly underdeveloped. This paper uses panel data for the period 1991 to 2004 to identify the determinants of tourism arrivals in the Philippines, taking into account the top ten tourist sources of the country namely the United States, Japan, Korea, Hong Kong, Malaysia, Australia, Singapore, Canada, United Kingdom, and Germany. The results strongly suggest that effective exchange rates, share prices, CPI, GDP of country of origin, and seasonality are key determinants of travel to the Philippines. It is therefore recommended that attention should be given to these determinants so as to achieve an overall improvement in the Philippine tourism industry.