The Impact of Governance on the Tourism Sector in the Selected MENA Economies (2003-2020): Evidence from Parametric and Non-Parametric Approaches
Keywords:Dynamic panel GMM, Panel Quantile Regression, Governance; MENA, Tourism demand
Objectives: This research aims to examine the impact of governance on the tourism sector in 16 countries in the MENA region during the period (2033-2020). It also aims to answer the main question which is related to the impact of the quality of governance and institutions on the total demand for tourism in the MENA region.
Methods: This study adopted the descriptive-analytical approach and the standard analysis method, using the Panel Quantile Regression (PQR) approach to collect data and obtain applicable recommendations.
Results: The main findings of this study show that governance is the key determinant of tourism demand. It was also found that political stability, government effectiveness, and corruption have a direct impact on the tourism sector.
Conclusions: Based on the results, the study recommends that policymakers should focus on ways to improve institutional quality in MENA countries to increase international tourist arrivals.
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