International tourism and economic vulnerability

The emergence of social and environmental emergencies has greatly challenged the capacity of economic systems to withstand risks. This study discusses how economic vulnerability can be reduced from the perspective of international tourism development. First, the results show that international tourism development can significantly decrease economic vulnerability. Second, there is a threshold effect: when GDP per capita is low, international tourism development has an adverse effect, but after the threshold is exceeded, positive effects begin to appear. Third, a heterogeneous analysis indicates that less-developed countries should first focus on developing other industries instead of international tourism. Finally, national income and industrial structure are determined as the two influencing paths. (C) 2022 Elsevier Ltd. All rights reserved.

Automated summary

International tourism development has been shown to significantly reduce economic vulnerability, although there may be adverse effects when GDP per capita is low. Less-developed countries should focus on developing other industries before turning to international tourism.