Macroeconomic Determinants of Indonesian Tourism Demand in Malaysia

Ahmad Feri, Tanjung and Fung, Thai Thien and Puah, Chin Hong and Brahmana, Rayenda Khresna and Ronald Hasudungan, Sianturi (2017) Macroeconomic Determinants of Indonesian Tourism Demand in Malaysia. Advanced Science Letters, 23 (4). 3159-3162(4). ISSN 1936-6612

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Abstract

Indonesia is Malaysia’s second tourist generating country after Singapore, therefore it is important to look at the macroeconomic determinants of Indonesia tourism demand in Malaysia in order to maintain and sustain the significant Indonesian tourist inflows into Malaysia. This study employed quarterly data from 2000Q1 to 2014Q4 to estimate Indonesian tourism demand with the explanatory variables of real income, travel cost and exchange rate. The empirical findings suggest that there is a long-run equilibrium relationship between Indonesian tourism demand and the specified determinants. In summary, higher Indonesian real income, higher travel cost and stronger Indonesian currency will encourage more Indonesian visitors visiting Malaysia.

Item Type: Article
Uncontrolled Keywords: Factor, Macroeconomic, Tourism, Tourism Demand, research, Universiti Malaysia Sarawak, unimas, university, universiti, Borneo, Malaysia, Sarawak, Kuching, Samarahan, ipta, education
Subjects: H Social Sciences > HG Finance
Divisions: Academic Faculties, Institutes and Centres > Faculty of Economics and Business
Depositing User: Karen Kornalius
Date Deposited: 09 Aug 2017 06:58
Last Modified: 09 Aug 2017 06:58
URI: http://ir.unimas.my/id/eprint/17017

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