Living standard and Chinese tourism participation

The paper analyses how the bettering in the living standard affects Chinese households' decision-making process regarding tourism. The first novelty of this study relays on the role that living standard, proxy by happiness, Internet use and social connection spending, has on the tourism participation and how it impacts tourism expenditures. We estimate hurdle models and calculate income elasticity with respect to living condition; this is the second main novelty of this study. Empirical results show that living standard is associated with likelihood of participating in tourism and is an essential determinant for tourism consumption behaviour. Some recommendations are finally proposed.