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How new airport infrastructure promotes tourism: evidence from a synthetic control approach in German regions

Author

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  • Doerr, Luisa
  • Dorn, Florian
  • Gaebler, Stefanie
  • Potrafke, Niklas
Abstract
The paper examines how new airport infrastructure influences regional tourism. Identification is based on the conversion of a military airbase into a regional commercial airport in the German state of Bavaria. The new airport opened in 2007 and promotes travelling to the touristic region of Allgau in the Bavarian Alps. A synthetic control approach is used to show that the new commercial airport increased tourism in the Allgau region over the period 2008-16. The positive effect is especially pronounced in the county in which the airport is located. The results suggest that new transportation infrastructure promotes regional economic development.

Suggested Citation

  • Doerr, Luisa & Dorn, Florian & Gaebler, Stefanie & Potrafke, Niklas, 2020. "How new airport infrastructure promotes tourism: evidence from a synthetic control approach in German regions," Munich Reprints in Economics 84767, University of Munich, Department of Economics.
  • Handle: RePEc:lmu:muenar:84767
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    JEL classification:

    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • Z38 - Other Special Topics - - Tourism Economics - - - Policy
    • L93 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Air Transportation

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