Title:
THE IMPACT OF TOURISM ON ECONOMIC GROWTH: EVIDENCE FROM CAPE VERDE

Authors:
Ladson Pires Andrade

Abstract:
As the leading worldwide job-creating economic sector tourism is regarded as an engine of growth. It generates 10.4% of global GDP and generates millions of jobs annually. This paper investigates the influence of the tourism industry on the economic growth of Cape Verde between the years 1990 until 2017. The ARDL approach has been applied to check the long-term association among the variables in the study. The results of the study prove that tourism exerts considerable influence on Cape Verde's growth over the past three decades. This can also be understood as a long-term association between GDP, political stability, inflation, and the expenditure of intercontinental travelers. In contrast, the exchange rate is seen as a negative influence on the growth of the state.

Keywords:
Tourism receipts, ARDL approach, growth, Cape Verde.