Research Paper
Year: 2021 | Month: October | Volume: 8 | Issue: 10 | Pages: 465-477
DOI: https://doi.org/10.52403/ijrr.20211061
Disasters and Domestic Tourist Arrivals in Indonesia in 2013-2017
Alla Asmara1, Annisa Hafizhah Uzdah2
1Department of Economic, Faculty of Economics and Management, IPB University, Jl. Agatis, IPB Dramaga, Bogor 16680
2Department of Economic, Faculty of Economics and Management, IPB University, Jl. Agatis, IPB Dramaga, Bogor 16680
Corresponding Author: Alla Asmara
ABSTRACT
The tourism sector is the leading sector in Indonesia's economic development in the future. One of the potential demand for Indonesia tourism sector comes from domestic tourist arrivals who show an increasing trend each year. On the other hand, the number of disasters in Indonesia in the last 10 years also showed an increasing trend. Starting from this phenomenon, the purpose of this study is to analyze the impact of disasters on domestic tourist arrivals in Indonesia. The analytical method used is descriptive analysis and panel data with Fixed Effect Model (FEM) approach. In this study, natural disasters were proxied through frequency of disasters and the number of fatalities. The results of the analysis indicate that frequency of disasters and the number of fatalities have a negative effect on the domestic tourist arrivals. However, only the number of fatalities has a statistically significant effect. Economic variables which also have a significant effect on domestic tourist arrivals are GRDP/capita, CPI, population, number of hotel rooms and accessibility. All of these variables have a positive effect on domestic tourist arrivals.
Keywords: Disasters, panel data, tourism, domestic tourist JEL Classification code: Z38; O20; R58.
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