Socio-economic development of tourist destinations: A cross-country analysis

Abstract

The study aims to investigate the characteristics of socio-economic development in the context of countries’ tourism advancement. The paper analyzes the Travel & Tourism Development Index (TTDI) and the Happiness Rating (HR). The sample covers data from 102 countries for the year 2021. The analysis showed that there are differences in the relationships between TTDI and HR, as well as their sub-indices, among groups of countries distributed according to income level. The research methodology includes the use of such methods as correlation analysis to determine the relationships between indicators like factor analysis to identify the degree of indicators' influence on the sample and a graphical method to visualise the analysis results. The study uses the World Bank approach to classify countries into income groups. The study confirms that a country's welfare level is one factor that determines patterns in various areas, including tourism.

Keywords

• socio-economic development, tourism development, tourist destinations, Travel & Tourism Development Index, Happiness Rating