The Impacts of Different Air Pollutants on Domestic and Inbound Tourism in China

Abstract

Previous studies have reported that air pollution negatively affects the tourism industry. This paper attempted to answer the following question: among different air pollutants, which one acts as the most adverse factor? The study was based on a sample of panel data covering 337 Chinese cities for the period between 2007 and 2016. Four pollutant indicators were inspected: PM 2 . 5 (particulate matter 2.5 micrometers or less in size), PM 10 (particulate matter 10 micrometers or less in size), SO 2 (sulfur dioxide), and NO 2 (nitrogen dioxide). It was found that PM 2 . 5 had a significantly negative impact on both domestic and inbound tourist arrivals. Regarding the other three pollutant indicators, except for the negative influence of NO 2 on inbound tourist arrivals, no statistically significant impact was found. This study suggests that tourism policy makers should primarily focus on PM 2 . 5 , when considering the nexus between air quality and tourism development. According to our estimates, the negative impact of PM 2 . 5 on tourism is substantial. If the PM 2 . 5 concentration in the ambient air increases by 1 μ g/m 3 (=0.001 mg/m 3 ), domestic and inbound tourist arrivals will decline by 0.482% and 1.227%, respectively. These numbers imply an average reduction of 81,855 person-times in annual domestic tourist arrivals and 12,269 in inbound tourist arrivals in each city.