抄録
This study discusses the relationship between market growth and the tourism boom that occurred in island regions from 1970 to the 80s, the economic growth period in Japan. The Izu Islands and Okinawa were selected as the target areas for this study because they became well-known tourist destinations during this period. Monthly data were used to construct a regression model addressing the relationship between market expansion and tourism demand. In general, time-series models, such as monthly data estimated by ordinary least squares, could lead to errors due to serial correlation. Hence, this study used Cochrane-Orcutt estimation to overcome this issue. The empirical results show that the domestic market has a positive effect on tourism demand in Okinawa, whereas it has a negative impact on the Izu Islands. Based on the results, peripheral areas, such as island regions, may be spotlighted as tourism destinations along with domestic economic growth. However, the demand for tourism has not developed domestic tourism destinations. Overall, this study concludes that the influence of investment by the private sector likely causes contradictory results between regions.
