Analyzing tourist consumption: A dynamic system-of-equations approach

Doris Chenguang Wu, Gang Li, Haiyan Song

Research output: Journal article publicationJournal articleAcademic researchpeer-review

30 Citations (Scopus)


The dynamic system-of-equations approach has been used to analyze the demand for outbound tourism among a number of destinations. However, this approach has not been applied to the context of the tourist consumption of different products in a given destination. Given the importance of understanding tourists' consumption behavior to destination management, this study seeks to gain new insights into Hong Kong inbound tourist expenditure patterns using a dynamic system-of-equations approach: the almost ideal demand system model. Based on the estimation of a complete demand system, this study investigates the interactions among the demand for different tourism products (i.e., shopping, hotel accommodation, meals outside hotels, and other) and the impacts of price changes on demand. Tourists from different source markets are examined separately, and the results show that their consumption behavior differs significantly.
Original languageEnglish
Pages (from-to)46-56
Number of pages11
JournalJournal of Travel Research
Issue number1
Publication statusPublished - 1 Jan 2011


  • almost ideal demand system
  • dynamics
  • elasticity analysis
  • tourism demand

ASJC Scopus subject areas

  • Geography, Planning and Development
  • Transportation
  • Tourism, Leisure and Hospitality Management


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