Estimation of tourism demand by multivariable regression analysis Evidence from Kenya

Abstract

Between 1963 and 1982, tourism was one of the top three domestic exports of Kenya. Knowledge of the variables which significantly Influence Kenyan tourism demand could help tourism policy makers in planning growth strategies. The results of this study indicate that multivariable regression analysis has limited usefulness in identifying the significant factors which influence tourists' decisions. Data problems and resulting multicollinearity cause unsuitable results in one case, while model specification appears to be a problem in another. The author concludes that quantitative studies should be supplemented by qualitative analysis in order for Kenyan policymakers to make optimal decisions.