Impact of Tourism and Economic Growth on Air Pollution in Developing Countries

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Nor Asma Ahmad
Zaminor Zamzamir @ Zamzamin
Nor Hafiza Othman

Abstract

Tourism development has frequently been regarded as a growth pillar in
recent times, owing to its significant contribution to socioeconomic development and
the expansion of tourism-led economies. Expansion of the tourism industry and more
economic development could, however, come at the expense of environmental damage.
The purpose of this study is to determine the influence of tourism, economic growth, and
environmental pollution in a panel of 35 developing nations from 1995 to 2018 using
a generalised method of moments (GMM) estimator. According to the findings, rising
tourist numbers in developing nations are linked to greater levels of particulate matter
2.5 (PM2.5) and carbon dioxide (CO2), while economic expansion has a positive impact
on the environment. For the panel of countries under consideration, there are non-linear
relationships between economic growth and air pollution that follow a U-shaped pattern.
The result also reveals that economic growth plays a significant moderating role in
reducing the environmental effects of tourism. The finding demonstrates that to ensure
long-term economic growth and development, wise public policies should be implemented
that prioritise environmental sustainability. Host governments should work to support
environmentally and socially responsible tourism sectors in their nations.

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