- Journal of Tourism Theory and Research
- Vol: 7 Issue: 2
- Impact of geopolitical risk on BIST tourism index and tourist arrivals in Turkey
Impact of geopolitical risk on BIST tourism index and tourist arrivals in Turkey
Authors : Mehmet Polat, Yaşar Alptürk, Samet Gürsoy
Pages : 77-84
Doi:10.24288/jttr.926617
View : 16 | Download : 6
Publication Date : 2021-07-31
Article Type : Research
Abstract :This study aims to explore the effects of geopolitical risk on the Borsa İstanbul (BIST) tourism index and tourist arrivals. The effects of the geopolitical risk index on the BIST tourism index and tourist arrivals were analyzed based on the data between January 1998 and October 2020, and the findings were presented. Time series analysis methods were used in the study. To investigate the relationship between variables, it was first tested whether the series of variables are stationary or not. Then, Lee-Strazicich unit root test was applied, considering the structural breaks. Finally, the causality relationship between variables and the direction of this relationship was determined by the Hatemi-J causality test. According to the findings, there is an asymmetrical relationship between Turkey's geopolitical risks with BIST tourism index. The increase in Turkey's geopolitical risks, causes a significant decrease in tourism BIST returns. Likewise, when the risk decreases, BIST tourism returns increase. On the other hand, the reduction of geopolitical risk in Turkey causes an increase in tourist arrivals.Keywords : Geopolitical Risk, BIST Tourism Index, Tourist Arrivals, Borsa Istanbul