This note sheds light on methodological concerns regarding the assessment of the relationship between tourism and corruption. For the most part, researchers have utilized regression-based techniques to assess the impact of corruption on tourist inflows, without entertaining the possibility of feedback from tourist inflows to corruption. Alternatively, we present dynamic cointegrated error-correction modeling as a superior methodology for examining the potential bi-directionality of short- and long-run causal relations between corruption and tourist inflows.
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Darrat et al. (2024) studied this question.
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