ASEAN’s intra-regional tourism demand to Thailand

ABSTRACTThis paper presents an overview of intra-regional tourism in ASEAN at the beginning of the challenging times that will come with the constitution of the ASEAN Economic Community (AEC). Thailand is chosen as the destination country and the other nine countries are selected as origin. After presenting ASEAN’s intra-regional tourism, the study develops a model of long-run demand. The coefficients are estimated by a time-varying parameters method considering the potential presence of structural breaks, and its implication. The results present and discuss the implications of income, own price, and cross price elasticities. As concluding recommendations, this study suggests that while the region should take advantage of the expansion of the Asian markets due to economic growth and liberalization of ASEAN since 2016, it should use different policies in each origin market.