Determinants of Tourist Expenditure : A Review of Microeconometric Models

This paper presents a comprehensive review of the econometric approaches for the analysis of tourism expenditure at individual level. The attempt to consider only regression models is novel in literature. The paper resumes 86 papers and 354 estimations of econometric models from data at individual level, ranging from 1977 to the early 2012. Discussion focuses on models used, dependent variables, explanatory variables by category and their effect on expenditure. The most frequently used explanatory variables were income, socio-demographic and trip-related, and were tested mainly through classical regression techniques (OLS, quantile, Tobit and two-step, logistic). Future research directions should concern the exploration of new evidence through novel methodological techniques, a more extensive use of psychographic variables and a stronger relation to economic theory