THE IMPACT OF TOURISM ON THE BALANCE OF PAYMENTS STABILITY
Mijana Matošević Radić
DOI: 10.35666/25662880.2019.5.44
UDC: 338.48:654.034
Abstract: For a long time, the foreign exchange inflow was considered as basic advantage derived from international tourism. This tourism expenditure by foreigners constitutes an injection of liquidity into the economic area which is considered. However, the country can also be faced with the foreign exchange outflow for the purpose of international travel of residents. Although countries in terms of tourism markets are traditionally classified as emissive or receptive market, there is no evidence in the literature about the existence of indicator which can classify them depending on the stability of their tourism balance of trade. The purpose of this paper is to fill this gap, i.e. to develop an indicator that will allow empirical classification of countries, taking into account the data from their tourism balance of trade. With the theoretical elaboration of the tourism balance of trade indicator, in this paper the values of obtained indicators for European Union Member States were calculated, and the impact of tourism on the balance of payments stability in the EU Member States was analysed. The calculation of the tourism balance of trade indicator enable empirical classification of countries according to the stability of their tourism balance of trade, which allows to carry out further analysis of the impact of different aspects of tourism in each of the mentioned groups of countries.
Key words: tourism, balance of payments, tourism balance of trade, tourism balance of trade indicator