Exploring the Complex Nexus between Sustainable Development and Green Tourism through Advanced GMM Analysis

Abstract

This research explores the complex nexus between sustainable development and green tourism across a representative set of 30 countries. To ensure robustness against potential endogeneity issues, the advanced Generalized Method of Moments (GMM) estimator is utilized for the analysis. Concurrently, key macroeconomic variables such as the GDP per capita, the literacy rate, and the population growth rate, along with environmental performance as captured by the Environmental Performance Index (EPI), are introduced as control variables. The findings reveal a notable positive correlation between sustainable development and green tourism, highlighting the integral role of green tourism in advancing sustainable development. This study also identifies complex associations between sustainable development and the control variables. Positive correlations are observed with the GDP per capita, the literacy rate, and the EPI, while the population growth rate exhibits a negative correlation with sustainable development. The outcomes underline the necessity of integrating sustainable tourism and environmental strategies into the wider discourse on sustainable development. This study provides substantial empirical insights into the multifaceted interplay of economic, social, and environmental factors, offering important implications for policymakers and academics alike. These findings contribute to a deeper understanding of sustainable development determinants and set a robust groundwork for the design of balanced, comprehensive development strategies.