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Determinants of Tourism in French Overseas Departments and Collectivities

Abstract : This article focuses on the determinants of tourism in French overseas departments and collectivities. An initial estimate of a panel model of annual data for Guadeloupe, Martinique, Mayotte, Reunion Island, French Poly-nesia, and New Caledonia (NC), over the period 1990-2012, shows that a 1% appreciation of the euro against the dollar reduces the number of tourists by 0.47%. The results also confirm the negative impact of distance/transport costs and the chikungunya crisis. Conversely, stronger growth in France or the United States and a higher level of wealth in the collectives promote tourism. A more detailed panel analysis, with monthly data for NC over the period 1995-2014, reveals that a 1% appreciation of the euro reduces tourism flows by 0.12%, and higher inflation in NC also penalizes tourism. However, distance and the economic situation of the country of origin do not significantly influence tourism flows to NC.
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Florent Deisting, Serge Rey. Determinants of Tourism in French Overseas Departments and Collectivities. Région et Développement, L'Harmattan, 2015, Les petites économies insulaires : nouveaux regards conceptuels et méthodologiques, pp.215-230. ⟨hal-02441336⟩

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