Economics

Este trabajo se enmarca en el Proyecto HAR2017-82679-C2-1-P: «El turismo durante la Guerra Civil y el primer Franquismo, 1936-1959. Estado y empresas privadas en la recuperacion turistica de Espana. Una perspectiva comparada». Programa Estatal de Fomento de la Investigacion Cientifica y Tecnica de Excelencia del Ministerio de Economia, Industria y Competitividad, Espana y Fondos FEDER.

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Culture is gaining increasing importance in the modern tourism industry, and represents a
significant force of attraction for tourists (both domestic and international). Cultural tourism allows
destinations and regions to expand their customer base, diversify their offer, extend the stay of the
tourist, and reduce seasonality. Great efforts are made, by national governments and regions, in
order to obtain official designation regarding the relevance of their historical/cultural attractions, for
example through UNESCO’s World Heritage Sites (WHS) list. Such an aspect seems particularly
relevant for a country like Italy, which has a high number of entries in the WHS list, and where
regions take an active role in promoting tourism. Using an 11-year panel of domestic tourism flows,
we investigate the importance of the regional endowment in terms of WHS from two perspectives:
(a) by separately estimating the effects, on tourism flows, of WHS located in the residence region of
tourists and in the destination region; and (b) by taking into account potential spatial
substitution/complementarity effects between regions due to their WHS endowment. Finally, a
sensitivity analysis is offered to evaluate the spatial extent of the latter.

The authors solve a linear problem where a potential conflict between two agents (Destination manager and Firm) arises in a tourism destination. The Destination manager has to choose how to allocate limited resources (capital and land) between either second homes or hotels. This conflict stems from the assumption of agents who have different linear preferences with respect to the allocation of limited resources. As a solution to this policy problem the authors consider three different policies: no intervention (laissez faire), taxation and temporary de-taxation policy. Comparing these different policies, they show that a compromise solution (internal solution), which results from the de-taxation policy, may be preferred by both agents over the clash of interests outcomes (corner solutions). Thus, the authors show that in a framework of “conflict” between agents a compromise solution may be preferable to both the absence of public intervention and the imposition of a tax by a public policy maker who has the discretionary “power to regulate” conflicts.