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NCFE Level 3 Diploma in Travel and Tourism

Tourism brings people together and teaches us about the world we live in. It strengthens communities and broadens the mind.

Check out our new Mental Health Awareness Level 3 course

What you'll learn

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Travel and Tourism is a continually growing industry that supports a huge number of roles. Tourism brings people together and teaches us about the world we live in. It strengthens communities and broadens the mind. Our fully accredited NCFE Travel and Tourism Level 3 Diploma explores the reasons why people travel and helps you develop the knowledge and skills needed to work in the tourism industry.

This course is brand new and replaces the older NVQ Level 3 Travel and Tourism. The qualification adds in a modern take on travel, bringing your travel skills right up to date.

Why study travel and tourism?

We all look forward to our holidays but we don’t often think about the processes, systems and activities which enable us to have an enjoyable experience whilst away from home. This accredited course focuses specifically on providing knowledge and skills to be able to work in this ever-growing sector.

NCFE Level 3 Travel & Tourism – the syllabus in brief

On the Travel and Tourism Level 3 Diploma, you’ll study how travel agencies operate, along with the package holiday industry. You’ll investigate how tourism events are organised and marketed, delve into the heritage and cultural tourism, study the impact that travel and tourism have on local communities, and much more!

Unit 1 - The UK travel and Tourism Industry

Do you know the main products and services offered within the UK travel and tourism industry? If not, then this unit will educate you. You’ll discuss all the ways to travel including road, rail, air and sea, along with describing the differences between serviced and non-serviced accommodation. You’ll also look at the extras offered to customers to enhance a travel package, and learn to identify trade associations, the services they offer, and their purpose.

Unit 2 - Customer Service in Travel and Tourism

This unit will help you identify examples of positive and negative customer service provided by travel and tourism organisations. You’ll find out how travel organisations’ policies and procedures manage customer service, and understand how performing great customer service has a positive impact. You’ll consider different techniques to perform great customer service and be able to recommend improvements to customer service on a selected travel and tourism organisation.

Unit 3 - Preparing for a Career in Travel and Tourism

Always dreamt of a career in travel and tourism? Great, this unit will prepare you for that. You’ll learn how to write a sell yourself on a CV or a personal profile that will shine bright in the travel and tourism industry. You’ll be able to assess your current skills against the skills you’ll need in the future by carrying out a skills audit, along with learning the knowledge needed to produce a professional standard application document. Finally, you’ll consider the ways to boost your interview chances, evaluate your performance, and be able to produce an action plan.

Unit 4 - Travel and Tourism Destinations

Within this unit, you’ll learn to identify UK, Europe and worldwide destinations, and you’ll then produce a travel brochure based on a selected location. You’ll research different types of travellers and tailor a destination recommendation based around them, their needs, and their desires. You’ll consider categories such as adults, families, adventure seekers, independent travellers, retired and eco-tourists, and be able to understand how each requires a diverse destination and tour offering.

Unit 5 - UK Visitor Attractions

Often people when visiting new places like to see what that destination has to offer with visitor attractions. During this unit you’ll consider man-made and natural visitor attraction and discover how they boost the appeal to customers. You’ll evaluate visitor management techniques used at an attraction destination and understand the effects of the attraction on the local community and area.

Unit 6 - Hospitality in Travel and Tourism

Travel and tourism and the hospitality industry often work hand-in-hand. During this unit you’ll explore the relationship between the two, and the products and services that can be offered. You’ll consider the ways that the needs and expectations can be met through hospitality providers for a range of customers.

Unit 7 - UK Tour Operations

During this unit you’ll get a better idea of the different types of operators, their functions, and the ways in which they sell. You’ll consider recent external factors and events, and the impacts they may have on tour operations.

Unit 8 - Travel Agency Operations

Within this unit, you’ll consider the range of travel agents in the market, and understand why customers may favour them over others. You’ll look at the differences between products and services in comparison to others on the market. Finally, you’ll learn the procedures, information sources, and legislation used by travel agents and be able to endorse products to potential customers.

Unit 9 - Marketing for Travel and Tourism

Marketing is fundamental to any business, after all it is the way in which people know about what they are doing, offering, and who they are! This unit will brush up on your marketing knowledge, covering influences of marketing activities and the marketing mix. You’ll carry out a market research activity to help you with developing a marketing campaign for a product or service, preparing promotional material to go with it.

Unit 10 - UK Passenger Transport Industry

Do you really understand the UK passenger transport industry? Inside this unit, you’ll develop your knowledge, and better understanding the structure, range of facilities, and the services within it. You’ll be able to understand factors that influence the industry including technology, changes in demand, political and legal factors, and many more. You’ll also research the travel options for more complex journeys and produce itineraries for them.

Unit 11 - UK Airports

Think about all the UK airports, where they are, and how busy they are. You’ll investigate UK airports and their income generation opportunities, discover the roles of UK airport-related regulatory bodies, health and safety, risk management and security hazards including, EASA, ICASO, IATA, and a whole lot more. Next, you’ll assess landside and airside career prospects within UK airports.

Unit 12 - Worldwide Passenger Airlines

Worldwide, there are a variety of airlines: some we may have heard of, some we may not. During this unit, you’ll discover the historical factors and the growth of the airline industry and its existing structure, understand the communications within an airport, the terminology used, and how they calculate flight times across worldwide time zones. You’ll consider the impact of external versions on the worldwide airline industry.

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NCFE is the leader in vocational and technical learning committed to powering a more intelligent education eco-system. We combine over 170 years of experience with deep insight into what is needed and what works.

From world-class qualifications and content to new assessment methodologies, from innovative technology platforms to partnership opportunities with our network of expert collaborators – NCFE galvanises the education sector to shape the most innovative solutions for individual learning needs.  In doing this, we’re working for a fairer education system for all learners to power inclusivity and choice.

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Recognised through ucas.

This course carries UCAS points. This means that it can be used to gain direct access to University courses and other Higher Education, through the UCAS system.

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Course Outcome

At the end of this course, successful learners will be awarded a formal qualification of Travel and Tourism Level 3 Diploma by NCFE, the third-largest awarding body in the UK. The training courses have been designed specifically to meet the needs of learners who prefer to study from home. Read more about NCFE .

How is this course assessed or examined?

Throughout this course, you may be expected to complete assignments, essays, research projects, presentations, video/audio recordings, and practical learning sessions to meet the requirements of your course. This information will be included in your study pack detailing exactly what you need to do to accomplish your goals as a student in travel and tourism.

Entry requirements

There are no formal entry requirements for this course, however, it is recommended that you have an intermediate ability to read and write English. There is a minimum study age of 16.

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Many of our courses do not require exams however, A-levels , GCSEs and some other courses do require exams to complete the qualification. Exam fees are additional to the cost of the course and prices vary depending on the course and where you sit them – find out more .

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Definitely, business and management courses can be used to advance up the ladder by proving to your employers that you’re dedicated and eager to learn.

They can also be used as evidence to prospective employers that you’d be a valuable addition to their team.

Finally, if you’re contemplating launching your own company, business and management courses can help you find your feet, hone your skills and become a success.

Travel is an ever-growing industry with impressive careers and opportunities being created worldwide every day.

There are multiple routes into this career, including undertaking a college-level course like our  Level 3 Diploma in Travel and Tourism , opting for an apprenticeship or taking on a trainee travel agent role.

We offer a huge selection of business-focussed courses such as  Business GCSE  and  Level 3 Diploma in Skills for Business and nationally recognised project management qualifications, such as  Prince2.

Whether you’re self-employed, climbing the ladder or struggling to get a foothold, showing initiative and gaining additional business qualifications can set you apart from the competition.

When you opt to study online with Oxbridge, you also gain tons of additional benefits such as: Not having to quit your job to navigate set lesson timetables; studying around your social life, at times that best suit you; one-on-one time with a qualified tutor who specialises in the subject you’re studying; top-quality learning materials, including quizzes, videos and e-books; the potential to achieve a pass rate that’s 20% higher than the national average and more.

If you’d like to find out more about studying business and management with Oxbridge, speak with one of our learning advisers via live chat.

Management is a far-reaching subject and involves the study of a variety of managerial practices. Whether you’re investigating how you can better serve your team and employer or are expanding your skills to run your own business, an online management course offers flexibility that you won’t find in a more traditional educational setting.

Managerial courses vary depending on the industry you are working in. Some of these courses include:

Team Leading Skills  and  Principles of Management .

We offer a range of online travel courses for those wishing to start work or advance their careers in travel, tourism, and aviation. Hands-on and in-depth, they’ve been designed with insights from industry representatives too.

These courses cover economy, politics, history, and so much more in an intense, hands-on way that no classroom ever could. If you have more questions or would like help choosing the right course for your career goals, speak to one of our learning advisers.

Business is one of the most popular fields of study worldwide. In today’s ever-increasing competitive job market, you can ensure that you stand out from the crowd with an accredited, industry-recognised business course.

There are a variety of online business courses available to study, depending on your goal. Just a few of the courses you could invest include Starting Your Own Business .

If you want a strong foundation in this varied, lucrative and exciting industry, these travel courses are for you. Our flexible home learning courses have been specifically designed to help and support you throughout your career.

If you dream of working in the travel industry and are looking for an industry-endorsed qualification to make your CV stand out, we’ve got you. Check out our range of travel courses and start your next adventure with us today.

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NCFE Level 3 Introductory Diploma in Travel and Tourism

NCFE Level 3 Introductory Diploma in Travel and Tourism Vocational

Course overview.

(Introductory Diploma – one year) (Extended Diploma - two years) - A combination of 14 hours a week theoretical and practical lessons including a number of educational visits will be arranged to assist you in completing your coursework, as well as allowing you to experience real life travel and tourism companies and attractions. You will also be required to partake in 72 hours work experience and up 6 hours a week literacy and numeracy lessons as part of your study programme depending on your entry qualifications.

From a range of the following units:

The UK Travel & Tourism Industry

Customer Service in Travel & Tourism

Preparing for Careers in Travel & Tourism

Travel & Tourism Destinations

UK Visitor Attractions

Hospitality in Travel & Tourism

Marketing in Travel & Tourism

Retail Travel

UK Tour Operators

UK Conference & Events Industry

Cruise Industry

Roles & Responsibilities of a Resort Representative

UK Airports

Responsible Tourism

Tour Guiding .

Job opportunities after this course

The course also prepares students for direct entry into the local, national or international travel, tourism or airline industry with the likes of attractions, hotels or hospitality, tour operators, travel agents, customer service related organisations, overseas holiday representatives, holiday parks and leisure providers.

Further study options after this course

Students could progress on to a foundation degree or full degree at university.

Progression at all levels within this academic area require high levels of attendance, punctuality, and standards of behaviour in accordance with college student codes of conduct and policies.

Minimum end of year grade requirement of Merit is also required.

Entry requirements

Five GCSEs at minimum grade 4 (including English and Maths) or a BTEC Level 2 Diploma in Travel and Tourism with merit or distinction grades.

Our entry requirements are in place to support our students in achieving the qualifications they have chosen to study. In addition to the entry requirements, all students will be regularly assessed by East Durham College at an early stage in their study programme. This is to ensure that students are enrolled onto courses which suit their abilities – following assessment, there may be occasions when students are transferred to a relevant course at a higher or lower level in order to ensure they are enrolled on to the right course for them to achieve and progress.

Entry onto any course at EDC may have entry requirements in addition to exam results; this includes but is not limited to DBS checks, references, fitness to practice and at times physical requirements to be capable of achieving the practical elements of the course without assistance. Entry onto any course at East Durham College is subject to final approval from the Assistant Principal.

How is this course assessed?

The majority of the units in these qualifications are assessed through internal, portfolio-based assessment generated through a range of activities, including role play, practical performance and verbal presentations.

When does the course start?

September 2024

Length of course

1 Year, Full Time. Students will study for the Introductory Diploma. If they achieve a minimum of a pass/merit grade in all units, they may progress to the Extended Diploma in year two. This full time study programme courses may also be available to study on a part-time basis if you are aged 18 or over on 31st August. Please check with Student Services for more details.

Fees & Funding

How to apply.

To apply online for this course, please click on the 'Apply' button at the top/bottom of this page.

Alternatively, if you need assistance with your application or you would like to apply over the phone or using a paper-based application form, please call Student Services on 0191 743 0149 .

If you're not quite ready to apply for this course and would like some more information or to speak to a member of staff then please click on the 'Enquire' button at the top/bottom of this page.

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Find a Course

Travel and Tourism

Level 3 extended diploma in travel and tourism.

During this advanced course, you will develop your awareness of the latest travel trends, both nationally and internationally, gain valuable work experience within the industry, understand the importance of marketing and responsible tourism, and discover what it takes to become a successful holiday representative. You may also have the opportunity to undertake Mandarin lessons too!

You could accrue up to 168 UCAS Tariff Points upon successful completion of this course, enabling you to progress on to university.

Our successful alumna, Sophie, completed this course and has since progressed to the University of Northampton, studying a degree in International Tourism Management.

When will I start the course and how long will it take?

The course will start in September and will take two years to complete.

This course will take place at our Town Centre Campus , Water Street, St Helens, WA10 1PP.

What will I study?

During this course, you will cover the following units:

• The UK/European/long-haul destinations
• The business of travel and tourism
• Customer service in travel and tourism
• Retail travel operations
• Work experience in the travel and tourism sector
• UK visitor attractions
• Entertainment for holidaymakers
• Working as a children's representative in travel and tourism
• Tourism in rural areas
• Events, conferences and exhibitions
• Investigating the cruise industry
• Organising a travel and tourism study visit
• Responsible tourism
• Marketing travel and tourism
• Products and services
• Working as a holiday representative

How is it assessed?

You will be assessed through a combination of short written tests, case studies, projects, presentations and role plays.

Do I need any previous qualifications to start this course?

You should have five GCSEs at grade 4 or above, including English and maths.

What are the course fees?

If you are a school leaver, aged 16-18, (under the age of 19 on or before 31st August 2024), you do not pay tuition fees or examination and registration fees and may be eligible for additional support depending on your financial situation. For more information, please visit our dedicated financial support page .

What can I go on to do once I have completed this course?

Once you have completed this course, you will be ready to launch your career in one of the most exciting and fastest-growing industries. You may choose to work within a holiday resort, events management, an airport and much more.

You will also have the opportunity to study a degree at university, enabling you to advance your knowledge and enhance your job prospects.

Are you ready to apply?

Ready to apply.

Simply fill in our online form here.

However, if you still have questions in relation to this course and wish to receive further information, please submit your enquiry here .

More information about Travel and Tourism

Fun in the sun for Travel and Tourism students

Hi-flying job fair inspires students, aviation students jet off to explore belfast, cabin crew students take to the skies with jet2.com, travel and tourism students work with leading events company at annual conference, high flyers return to talk careers with our cabin crew students, travel and tourism students head to the netherlands, cabin crew students off to a flying start in their careers, travel and tourism students raise money for comic relief with charity bake sale, students learn lifesaving first aid skills, cabin crew students dive into water survival assessment, former students inspire cabin crew cohort, students receive masterclass from industry expert, students gain invaluable experience working at cruise liverpool, cabin crew fire through their safety training, travel, tourism and aviation tutor's head to liverpool john lennon airport, inspiring success.

“I love being Cabin Crew, every day is different, travelling around the world visiting the most amazing places!”

Matt, Level 2 Diploma in Air Cabin Crew

Read Matt's full story More Successes -->

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Level 3 Tourism - This qualification has been withdrawn

For help with e-submission process click here.

This qualification has been withdrawn and will award for the final time in Summer 2025. Our new Level 3 Applied Certificate/Extended Certificate in Tourism can be found here .

Units 2 and 4 – deadline for the submission and upload of marks and samples will be the 15th May.

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Our Level 3 Tourism qualification develops learners’ knowledge, understanding and skills relating to UK and Worldwide Tourism.

It also explores how the industry must adapt to external pressures and the ever-changing needs of customers.

Important information, past papers, marking schemes, entry/amendment uploads & make post-results enquiries.

Broaden your knowledge, gain insight into assessment, and boost your income!

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NZ Certificate in Tourism (Level 3)

Hawke's Bay Campus Tairāwhiti Campus in Gisborne

Study Options

Get on board a fast growing global business

Melissa and Thomas have grabbed the first opportunity to start a career in tourism.

You will use your adventurous spirit and passion for customer service to guide people on their way to exploring and experiencing all New Zealand and the world has to offer. Our campus Travel Centre is set up to simulate a real-life travel agency and is used for role-plays between tourism provider and tourist.

The NZ Certificate in Tourism (Level 3) programme is offered with strands in both visitor experience and tourism and travel.

At the completion of the qualification, you will be ready for front line entry level positions in industry, under limited supervision, or further, higher level tourism study.

In particular, the programme is designed to develop skills to be able to:

• Apply knowledge of customer service and selling skills
• Apply tourism workplace practices
• Demonstrate knowledge of regional New Zealand
• Demonstrate a broad knowledge of the tourism and travel industry
• Apply knowledge and attributes required for a Barista role

You’re welcome to make an appointment to discuss your study options with our staff and arrange a visit to view our facilities.

Your future career and study opportunities

Your possible employment opportunities include:

• Attraction assistants
• Front office positions
• Ticket sales
• Reservations consultant
• Visitor host
• Booking assistant
• Rental vehicle operations
• Front desk administration

Your study pathway could progress onto:

• NZ Certificate in Tourism (Level 4)
• NZ Diploma in Tourism and Travel (Level 5)

There are two entry dates:

• February (Hawke’s Bay only)
• July (Tairāwhiti only)

Entry requirements

Entry criteria

Information sessions are provided for applicants and there may be individual interviews with tutors in cases where the application raises some doubt about the suitability of the programme for the applicant.

Open entry 

• If the delegated authority at the campus/site is satisfied that the applicant has the capability to complete the requirements of the programme.

Recommendation

It is recommended that applicants complete unit or achievement standards related to geography, tourism and travel prior to enrolling in the programme.

English language entry requirements

If English is not your first language you are required to have attained an acceptable level of English language fluency. This may be demonstrated in a variety of ways, including successful study in English, completion of a New Zealand Certificate in English Language (Level 3), approved scores on IELTS tests (Academic score of 5.0 with no band score lower than 5), completion of accepted international equivalents from one test taken in the preceding two years, or an equivalent described in NZQA Rules.

Entry with credit

You may already have some knowledge or skills that can be recognised as part of your intended study. This may take a number of different forms including study while at high school, study at a private training establishment, workplace training or other tertiary study. If you think you may qualify, you may want to apply for Cross Credit (CC).

• CC is based in the equivalency of courses or qualifications. You would apply for CC if you have passed a very similar course at the same level.

You will be asked to provide details of anything that you would like to be considered as credit toward your intended programme of study, as part of your application.

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Tourism is Back to Pre-Pandemic Levels, but Challenges Remain

World Economic Forum, [email protected]

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• High-income economies in Europe and Asia-Pacific continue to lead the World Economic Forum Travel and Tourism Index, with the United States, Spain and Japan topping the rankings again.
• Despite post-pandemic growth, the global tourism sector still faces complex challenges, with recovery varied by region; only marginal overall score improvements since the 2021 edition.
• Developing economies are making strides – who account for 52 out of 71 economies improving since 2019 – but significant investment is needed to bridge gaps and increase market share.
• Read the report here .

New York, USA, 21 May 2024 – International tourist arrivals and the travel and tourism sector’s contribution to global GDP are expected to return to pre-pandemic levels this year, driven by the lifting of COVID-19-related travel restrictions and strong pent-up demand, as per the new World Economic Forum travel and tourism study, released today.

Topping the 2024 list of economies are the United States, Spain, Japan, France and Australia. The Middle East had the highest recovery rates in international tourist arrivals (20% above the 2019 level), while Europe, Africa and the Americas all showed a strong recovery of around 90% in 2023.

These are some of the top findings of the Travel & Tourism Development Index 2024 (TTDI) , a biennial report published in collaboration with the University of Surrey, which analyses the travel and tourism sectors of 119 countries around a range of factors and policies.

“This year marks a turning point for the travel and tourism sector, which we know has the capacity to unlock growth and serve communities through economic and social transformation,” said Francisco Betti, Head of the Global Industries team at the World Economic Forum. “The TTDI offers a forward-looking window into the current and future state of travel and tourism for leaders to navigate the latest trends in this complex sector and sustainably unlock its potential for communities and countries across the world.”

Post-pandemic recovery

The global tourism industry is expected to recover from the lows of the COVID-19 pandemic and surpass the levels seen before the crisis. This is largely being driven by a significant increase in demand worldwide, which has coincided with more available flights, better international openness, and increased interest and investment in natural and cultural attractions.

However, the global recovery has been mixed. While 71 of the 119 ranked economies increased their scores since 2019, the average index score is just 0.7% above pre-pandemic levels.

Although the sector has moved past the shock of the global health crisis, it continues to deal with other external challenges, from growing macroeconomic, geopolitical and environmental risks, to increased scrutiny of its sustainability practices and the impact of new digital technologies, such as big data and artificial intelligence. In addition, labour shortages are ongoing, and air route capacity, capital investment, productivity and other sector supply factors have not kept up with the increase in demand. This imbalance, worsened by global inflation, has increased prices and service issues.

TTDI 2024 highlights Out of the top 30 index scorers in 2024, 26 are high-income economies, 19 are based in Europe, seven are in Asia-Pacific, three are in the Americas and one (the United Arab Emirates) is in the Middle East and North Africa region (MENA). The top 10 countries in the 2024 edition are the United States, Spain, Japan, France, Australia, Germany, the United Kingdom, China, Italy and Switzerland.

The results highlight that high-income economies generally continue to have more favourable conditions for travel and tourism development. This is helped by conducive business environments, dynamic labour markets, open travel policies, strong transport and tourism infrastructure, and well-developed natural, cultural and non-leisure attractions.

Nevertheless, developing countries have seen some of the greatest improvements in recent years. Among the upper-middle-income economies, China has cemented its ranking in the top 10; major emerging travel and tourism destinations of Indonesia, Brazil and Türkiye have joined China in the top quartile of the rankings. More broadly, low- to upper-middle-income economies account for over 70% of countries that have improved their scores since 2019, while MENA and sub-Saharan Africa are among the most improved regions. Saudi Arabia and the UAE are the only high-income economies to rank among the top 10 most improved economies between 2019 and 2024.

Despite these strides, the TTDI warns that significant investment is needed to close gaps in enabling conditions and market share between developing and high-income countries. One possible pathway to help achieve this would be sustainably leveraging natural and cultural assets – which are less correlated with country income level than other factors – and can offer developing economies an opportunity for tourism-led economic development.

“It’s essential to bridge the divide between differing economies’ ability to build a strong environment for their travel and tourism sector to thrive,” said Iis Tussyadiah, Professor and Head of the School of Hospitality and Tourism Management at the University of Surrey. “The sector has big potential to foster prosperity and mitigate global risks, but that potential can only be fully realized through a strategic and inclusive approach.”

Mitigating future global challenges

According to the World Economic Forum’s 2024 Global Risks Report, the travel and tourism sector faces various complex risks , including geopolitical uncertainties, economic fluctuations, inflation and extreme weather. Balancing growth with sustainability also remains a major problem, due to high seasonality, overcrowding, and a likely return of pre-pandemic emissions levels. The report also analyses persistent concerns about equity and inclusion. While the tourism sector offers a major source of relatively high-wage jobs, particularly in developing countries, gender parity remains a major issue for regions such as MENA and South Asia.

Despite these challenges, the sector can play a significant role in addressing them. To achieve this, decision-makers should prioritize actions such as leveraging tourism for nature conservation efforts; investing in skilled, inclusive and resilient workforces; strategically managing visitor behaviour and infrastructure development; encouraging cultural exchange between visitors and local communities; and using the sector to bridge the digital divide, among other policies.

If managed strategically, the travel and tourism sector – which has historically represented 10% of global GDP and employment – has the potential to emerge as a key contributor to the well-being and prosperity of communities worldwide.

About the Travel and Tourism Development Index 2024

The 2024 edition of the TTDI includes several improvements based on newly available data and recently developed indicators on the environmental and social impact of travel and tourism. The changes made to the 2024 Index limit its comparability to the previously published TTDI 2021. This year's report includes recalculated 2019 and 2021 results, using new adjustments. TTDI 2024 reflects the latest available data at the time of collection – end of 2023. The TTDI is part of the Forum’s broader work with industry communities actively working to build a better future enabled by sustainable, inclusive, and resilient industry ecosystems.

Notes to editors

Read the Forum Agenda also in Spanish | Mandarin | Japanese Learn about the Forum’s impact Check out the Forum’s Strategic Intelligence Platform and Transformation Maps Follow the Forum on social media: @wef | Instagram | LinkedIn | Facebook | TikTok | Weibo | Threads | WhatsApp Watch Forum videos at wef.ch/videos | YouTube Get Forum podcasts at wef.ch/podcasts | YouTube Subscribe to Forum news releases

Environmental sustainability and tourism growth: convergence or compensation?

• Open access
• Published: 29 May 2024

Cite this article

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• Viviana Torres-Díaz 1 , 2 ,
• María de la Cruz del Río-Rama   ORCID: orcid.org/0000-0002-9396-9341 3 ,
• José Álvarez-García 4 &
• Biagio Simonetti 5 , 6 , 7  

In addition to the socio-economic advantages, tourism has been proven to be one of the most important sectors with adverse environmental effects. Therefore, this study examines the relationship between tourism and environmental sustainability by using a panel data from 32 countries in Latin America and the European Union for the period 2000–2019. Several techniques of cointegration and convergence of clusters are used to meet this objective. The empirical results show that on average, tourism growth has a negative impact on the environment in the two groups of countries, which could be attributed to the heterogeneity of the level of regional tourism development. On the other hand, the convergence of tourism growth and environmental sustainability is evident at different adjustment speeds in the different sample panels. It generates empirical evidence on whether the current expansion of the tourism sector in Latin American and European countries entails significant environmental externalities by using the ecological footprint variable as an indicator of environmental sustainability and foreign tourist arrivals as an economic indicator.

Avoid common mistakes on your manuscript.

1 Introduction

Over the past decades, countries have experienced rapid economic growth around the world (Koengkan et al. 2019 ). In line with the World Tourism Organization (UNWTO), more than 900 million tourists made international trips during the year 2022, twice as many as in 2021. This figure is 63% of the pre-pandemic level. In general, the number of international tourists has increased in all regions of the world. Europe, with 585 million arrivals in 2022, has reached almost 80% of pre-pandemic levels. Africa and North, Central and South America reached about 65% of pre-pandemic visitor levels (UNWTO 2023 ).

Tourism is one of the important factors that can affect the environmental and economic situation of any economy (Ozturk et al. 2023 ). Thus, tourism and economic growth have been found to go hand in hand, especially in tourist destinations (Adedoyin et al. 2021 ). In addition, tourism transfers economic income from developed to developing countries (Danish and Wang 2018 ). However, despite the benefits that tourism provides, it also affects environmental quality, as increased international tourism not only stimulates economic growth, but also increases energy consumption (Bojanic and Warnick 2020 ; Danish and Wang 2018 ) and the use of products derived from the extraction of natural resources (Robaina-Alves et al. 2016 ).

Therefore, most of the empirical and theoretical studies have argued that tourism contributes significantly to environmental degradation (Shahbaz et al. 2021 ; Danish and Wang 2018 ), so this relationship has been studied from two perspectives. The first perspective focuses on testing the Environmental Kuznets Curve (EKC) hypothesis, which is an inverted U-shaped relationship between pollutants and economic growth. Based on Kuznets ( 1955 ), this theory was put forth by scholars Grossman and Krueger ( 1991 ). According to this idea, economic expansion affects environmental degradation as measured by CO 2 emissions to a point when it becomes sustainable and has a negative influence (Arbulú et al. 2015 ; Ozturk et al. 2016 ; Mikayilov et al. 2019 ; Anser et al. 2020 ; Fethi and Senyucel 2021 ; Porto and Ciaschi 2021 ; Gao et al. 2021 ). The second perspective includes research that examines the relationship between tourism growth and environmental degradation (De Vita et al. 2015 ; Zaman et al. 2016 ; Pablo-Romero et al. 2019 ; Alizadeh 2020 ; Anser et al. 2020 ).

Most of these studies (Kusumawardani and Dewi 2020 ; Rahman 2020 ; Mohammed et al. 2015 ; Ozturk and Al-Mulali 2015 ; Galeotti et al. 2006 ) have analyzed the relationship between tourism growth and environmental degradation based on the variables of energy consumption and carbon dioxide emissions. According to Ozturk et al. ( 2023 ), the empirical findings point to a mix of favorable and unfavorable effects of visitor arrivals and CO 2 emissions in the majority of tourist locations. Environmental degradation has been shown to be a multifaceted phenomenon with a variety of indicators, which requires a comprehensive assessment of the state of the environment (Wackernagel and Rees 1998 ; Saqib and Benhmad 2021a , b ; Pulido-Fernández et al. 2019 ).

In this regard, some studies (Saqib and Benhmad 2021a , b ; Satrovic and Adedoyin 2022 ) have found that the ecological footprint is a more accurate tool for measuring and visualizing the resources that sustain the planet because it considers how dependent humans are on the environment in order support a lifestyle (Kyara et al. 2022 ; Saqib and Benhmad 2021a , b ; Elshimy and El-Aasar 2020 ; Figge et al. 2017 ; Ozturk et al. 2016 ; Rojas-Downing et al. 2018 ). In line with this, Gössling ( 2000 ) points out that the relationship between tourism expansion and carbon emissions, as well as evidence of the detrimental effects of fossil fuels used in the industry on the environment are some aspects of the impact of tourism growth on the ecological footprint.

As a result, the main objective of this study is to assess how tourism growth and environmental sustainability in Latin America and the European Union are related. Due to the lack of comprehensive statistical data for all the countries in the region and for all the years, the statistical data from 14 Latin American countries and 18 European countries were used between 2000 and 2019. In order to do this, the present research used convergence cluster analysis, generalized least squares (DOSL), cointegration analysis using unit root and causality tests to examine the relationship between the ecological footprint (global hectares per capita) and the number of international tourist arrivals.

In addition, this study also contributes two important elements to the literature on tourism. First, it generates empirical evidence on whether the current expansion of the tourism sector in Latin American and European countries entails significant environmental externalities by using the ecological footprint variable as an indicator of environmental sustainability and foreign tourist arrivals as an economic indicator. Second, the research ranks nations based on the likelihood that their environmental performance will be covered, considering the fact that environmental sustainability can be influenced by tourism growth. To do this, the convergence club method presented by Phillips and Su ( 2007 ) is used, which finds three convergence groups with the potential for the final two groups to merge into a single club.

Following this introduction, the study will be divided into the following sections: Sect.  2 presents the bibliographical and empirical review on the topic. In Sect.  3 , two sections are presented: in the first section, the description of the data and bibliographical sources; and, in the second section, the methodologies used are described. Section  4 shows the results obtained, while Sect.  5 provides a discussion of the findings. The last section presents the conclusions obtained.

2 Theoretical framework

There is a significant and growing interest in the connection between tourism and the environment within the analysis of the literature and empirical evidence, which suggests that this relationship can be studied from two relevant aspects. The first aspect explores the causal relationship of tourism on environmental degradation. For example, Usman et al. ( 2021 ) investigate the causal link in Asian countries and find that tourism is what is influencing the region’s environmental degradation. On the other hand, Shi et al. ( 2020 ) find a two-way causal relationship in high-income economies around the world. Other research, such as that by Lee and Brahmasrene ( 2013 ) and de Vita et al. ( 2015 ) explores this connection along with electrical energy use, demonstrating the beneficial impact of tourism on environmental degradation; while Zaman et al. ( 2016 ) determine an inverse relationship between the variables considered for an analysis in three regions of the world. According to Lv and Xu ( 2023 ), tourism always has a major detrimental impact on environmental performance, meaning that environmental deterioration will inevitably come from tourism, regardless of how developed the industry is. On the other hand, tourism will comparatively have less of an impact on environmental performance after it reaches a certain level of development.

The second aspect examines whether the EKC hypothesis caused by tourism actually exists. Kuznets ( 1955 ) investigated “the inverted U-shaped relationship between income inequality and per capita income”. Subsequently, the pioneering study by Grossman and Krueger ( 1991 ) analyzed the connection between air quality and income growth. This study provided evidence supporting the Kuznets curve. Numerous empirical studies that explored and validated the EKC hypothesis in global tourism have been conducted in recent years (Ozturk et al. 2016 ; Fethi and Senyucel 2021 ) by groups of countries (Anser et al. 2020 ; Adedoyin et al. 2021 ), in Latin America (Pablo-Romero et al. 2019 ; Ochoa-Moreno et al. 2022 ) and Europe (Arbulú et al. 2015 ; Saqib and Benhmad 2021a , b ). In this same line, Ekonomou and Halkos ( 2023 ) processes regression tests of contemporary panels that consider possible structural ruptures and phenomena of cross-dependence in panel data. Empirical findings confirm the EKC hypothesis, while business tourism expenses, capital investment expenses and domestic travel and tourism consumption have a negative impact on greenhouse gas emissions.

In order to demonstrate the link between environmental degradation and tourism growth in many industrialized and emerging economies, Table  1 aggregates empirical studies. However, the results differ in terms of policy implications, methods and geographical location. In addition, there are limited studies in both the Latin American region (Alizadeh 2020 ; Porto and Ciaschi 2021 ; Ochoa-Moreno et al. 2022 ), as well as in the application of the ecological footprint variable as a more comprehensive indicator of environmental degradation (Kyara et al. 2022 ; Saqib and Benhmad 2021a , b ; Elshimy and El-Aasar 2020 ; Figge et al. 2017 ; Ozturk et al. 2016 ; Rojas-Downing et al. 2018 ).

It is significant to highlight that the above examines the EKC hypothesis using only one indicator of environmental pollution, namely carbon dioxide emissions, and is restricted to a one-dimensional consumption-based study. In this regard, Wackernagel and Rees ( 1998 ) state that environmental degradation is a multidimensional phenomenon and is represented by several indicators, not only as a result of ongoing carbon emissions, but also of the loss of fish species, reduction of grazing land and reduction of crops (Global Footprint Network 2021 ). For example, according to Ehigiamusoe et al. ( 2023 ), the ecological footprint and carbon emissions reflect various aspects of environmental degradation highlighting the imperative for nations to take into account the interaction between globalization and tourism in their effort to ensure environmental sustainability.

In addition, because the biocapacity available is ignored, it restricts our knowledge of the dynamics of environmental stresses. According to Destek and Sarkodie ( 2019 ), the biocapacity of a nation has a substantial impact on the outcome of the EKC hypothesis. In line with this, Khan et al. ( 2019 ) found decreasing forest cover has a variety of negative effects, such as droughts, unpredictable rainfall and flash floods. In order to reduce climate change and its effects, it is crucial to analyze the ecological footprint of growing economies (Destek and Sarkodie 2019 ).

On the other hand, regarding the methodology implemented in several of the studies presented in this section, the relationship between tourism and the environment is analyzed mainly based on some common econometric techniques. However, this research seeks to broaden the analysis of the relationship from convergence, alluding to the idea that over time, the per capita production of all economies will converge (Du 2017 ), adapting and expanding it to tourism and sustainability, based on the study by Simo-Kengne ( 2022 ), who builds a tourism sustainability index and analyzes the convergence of tourism growth and environmental sustainability in 148 countries for the period from 2006 to 2016.

A number of studies (Baumol 1986 ; Bernard and Durlauf 1995 ; Barro and Sala-I-Martin 1997 ; Lee et al. 1997 ; Luginbuhl and Koopman 2004 ) have helped to establish techniques for convergence testing and to empirically investigate the convergence hypothesis in various countries and areas. Convergence analysis has recently been used to examine a variety of different topics, including the cost of living (Phillips and Sul 2007 ), carbon dioxide emissions (Panopoulou and Pantelidis 2009 ), eco-efficiency (Camarero et al. 2013 ), housing prices (Montanés and Olmos 2013), corporate taxation (Regis et al. 2015 ), etc.

Using a non-linear time-varying component model, Phillips and Sul ( 2007 ) suggested a unique method (called the “log t” regression test) to evaluate the convergence hypothesis. The following are the benefits of the suggested strategy: First, it considers the diverse behavior of agents and their evolution. Second, the proposed test is robust to the stationarity property of the series, since it does not make any specific assumptions regarding trend stationarity or stochastic non-stationarity. Subsequently, Phillips and Sul ( 2007 ) demonstrated certain flaws in conventional convergence tests for economic development. Due to missing variables and endogeneity problems, the Solow regression estimate enhanced under transient heterogeneity, for instance, is biased and inconsistent. Due to the fact that the presence of a unit root in the series differential does not always imply divergence, conventional cointegration tests frequently lack the sensitivity required to detect asymptotic motion.

The potential existence of convergence clubs is another recurring concern in convergence analysis. Traditional studies generally divide all participants into subgroups based on some previous knowledge (e.g., geographical region, institution), and then test the convergence hypothesis for each subgroup separately. A new algorithm was created by Phillips and Sul ( 2007 ) to locate subgroups of convergence in clusters. The algorithm developed is a data-based approach that does not separate samples ex ante. Some typical models are compatible with the relative transition parameter method presented by Phillips and Sul ( 2007 ) to characterize individual variations. To put people into groups with comparable transition paths, it can be used as a universal panel approach.

In this regard, the present research aims to fill the gaps identified in the aforementioned bibliography. Firstly, by expanding the analysis of the convergence of the relationship between tourism growth and environmental sustainability. Secondly, a proxy for environmental degradation for the Latin American and European regions using new indicators and with more comprehensive dimensions.

3 Methodology

The data used in this study were taken from the World Bank (2022) and Global Footprint Network ( 2021 ). The variables extracted are the ecological footprint (ECO), which serves as the dependent variable in this study, and the number of international arrivals (TUR), which serves as the independent variable. This study covers 32 countries (Latin America, 14 and the European Union, 18) during the period 2000–2019. With 640 observations over the 20-year period and 32 countries, the variables provide a fully balanced panel over the 20-year period (t = 1, 2, …, 20), and 32 countries (i = 1, 2, …, 32).

Within countries, measured in global hectares per person, the ecological footprint is more stable than between them. Within countries, the standard deviation (SD) is 0.33, and between countries, it is 1.47. Similarly, the within-country variation in tourist revenues (log) (TUR) is lower than between countries. In comparison to the standard deviation across countries, which is 0.58, the standard deviation within countries is 0.32 (Table  2 ).

The annual evolution on average of the ecological footprint and the arrival of international tourists for Latin American countries can be observed in Fig.  1 . The trend of the dependent variable is constant, i.e., the ecological footprint is constant over the length of the study period in the sample of Latin American countries; while the independent variable is positive, i.e., it shows a constant increase in the study period (Table  3 ).

Average ecological footprint and tourist arrivals in 14 Latin American countries

Figure  2 shows the average annual changes in the ecological footprint and the number of foreign visitors for the European Union member states. As can be seen, the independent variable has a positive trend throughout the study period and the dependent variable has a negative trend, which means that the ecological footprint in the sample of European countries has maintained an average decrease.

Average ecological footprint and tourist arrivals in 18 European Union countries

Over time you can see how Latin American countries converge in terms of sustainability and tourism growth; Meanwhile, the countries of the European Union diverge in terms of tourism and environmental sustainability, especially in the last years of the study; However, this differs depending on the macroeconomic conditions of each country; this is expanded upon in the results and discussion section once the cluster convergence method has been applied.

3.2 Methodology

The empirical research follows a four-step process in line with the research objective of examining the convergence and interaction between the ecological footprint and international tourism growth in a panel of 32 countries from 2000 to 2019. The stationarity of the variables under study is first verified as a prerequisite in the first phase. The cointegration test is used in the second phase to assess whether there is stationarity between the variables under study in the long run. The third phase consists of estimating the fictitious cointegration connection in order to describe its dynamics, including how quickly it adjusts to long-term equilibrium and the short- and long-term effects. The causality analysis that comes at the end of this process, which considers the direction of the effects and any potential externalities to the research variables, is important for the creation of policy implications. The connection between tourism and environmental impact can be expressed as follows:

If the logarithm of tourism is considered in Eq.  1 , it is formulated as follows:

The ecological footprint of country \(i\) as a whole during period \(t\) is represented by log \({(ECO)}_{i,t}\) , the logarithm of tourism during period \(t\) is represented by \(\log (TUR)_{i,t}\) , and the error term is represented by \(\varepsilon_{i,t}\) . The results at this stage are interesting because they show the direction and strength of the effect of the relationship between independent and dependent variables.

The unit root test is used to check if the series are stationary—i.e., if there is no trend effect—prior to the cointegration analysis. Levin, Lin, and Chu-LLC and Im, Pesaran, and Shin-IPS, both suggested by Levin et al. ( 2002 ) and Im et al. ( 2003 ), were the tests used. The Fisher-type test based on the ADF test (Dickey and Fuller 1981 ) and the Fisher-type test based on the PP test were also used in response to Maddala and Wu ( 1999 ), who suggested using a simpler non-parametric unit root test. This equation was used to estimate these tests:

where ∆ is the first difference operator, \({X}_{i,t}\) is the series for a member of panel (country) i during the period (i = 1, 2, … N); (t = 1, 2, … T), \({p}_{i}\) indicates the number of lags in the ADF regression, and the error term \({\varepsilon }_{i,t}\) is assumed to be independently distributed random variables and normal for all i and t mean zero and finite heterogeneous variance.

The following stage tested for long-term equilibrium between the variables under study using cointegration techniques (Pedroni 1999 , 2004 ). The panel series are compared to see if there is a long-term link by using the Pedroni ( 1999 , 2004 ) cointegration test. The panel v statistic, panel rho statistic, panel PP statistic, panel ADF statistic, and the panel statistic—group rho, group PP statistic, and group ADF statistic are all calculated using the regression of Eq. ( 3 ) in the Pedroni cointegration test (Pedroni 1999 , 2004 ):

In addition, a short-term equilibrium based on error correction models (ECVM) is present (Westerlund 2007 ). The null hypothesis of no cointegration versus cointegration between the variables used is considered at the regional level. As opposed to residual dynamics, this demonstrates structural dynamics, hence there are no restrictions on any common element. On the other hand, the error correction model developed by Westerlund in 2007 is denoted by the following notation and it is assumed that all variables are integrated in order 1 or I (1):

where d t  = (1 − t) contains the deterministic components and θ t  = (1 − t) is the vector of unknown coefficients to be estimated.

As indicated by Dumitrescu and Hurlin ( 2012 ), the Granger non-causality approach was used after calculating the equilibrium connection to take into consideration panel data heterogeneity problems. In the situation of imbalanced and heterogeneous data, the Dumitrescu-Hurlin (DH) test is a modified version of the Granger causality test that is more lenient for T < N and T > N. Equation ( 6 ) is used in the DH test:

where \({\varphi }_{i}\) is the intercept of the slope, \({\gamma }_{i}\) and \({\theta }_{i}\) are the slope coefficients, ε is the error term, and k is the number of lag lengths.

In order to investigate the presence of convergence clubs according to the Phillips and Sul ( 2007 ) clustering procedure, the following steps are implemented:

(Cross section last observation ordering): Sort units in descending order according to the last panel observation of the period;

(Core group formation): Run the log-t regression for the first k units (2 < k < N) maximizing k under the condition that t-value is >−1.65. In other words, chose the core group size \({k}^{*}\) as follows:

If the condition tk > −1.65 does not hold for k = 2 (the first two units), drop the first unit and repeat the same procedure. If tk > −1.65 does not hold for any units chosen, the whole panel diverges.

The fixed-effects and random-effects models were compared using the Hausman test ( 1978 ). As a result, for each panel, the model that best fitted the test data was chosen. The modified Wald test and the Wooldridge ( 1991 ) test were also used to test for heteroscedasticity and to identify autocorrelation in the panel, highlighting the need to estimate the parameters of Eq. ( 2 ) using generalized least squares (GLS) for panel data (Wooldridge 2004 ). The results are shown for the two groups of countries (Table  4 ).

Next, the non-stationarity of the series is confirmed using unit root tests for panel data. Three tests, those of Levin et al. ( 2002 ) and Im et al. ( 2003 ), known respectively as LLC and IPS tests in the empirical literature on panel data, were applied to confirm the reliability of the findings. Comparisons were made between the results of these tests and those produced by Maddala and Wu ( 1999 ). Both with and without the effects of time were considered in the testing. According to the findings in Table  5 , the series show an order of integration (1). The existence of long-term and short-term cointegration vectors between the variables is confirmed in the following step of this research.

Pedroni ( 1999 , 2004 ) developed the cointegration test in heterogeneous panels, which allows to merge cross-sectional dependence with various individual effects, to determine the presence of a long-term equilibrium. This analytical framework, which incorporates seven repressors based on seven residual-based statistics, enables cointegration tests to be run in both heterogeneous and homogeneous panels.

The results of the seven statistics used by Pedroni ( 1999 , 2004 ) are shown in Table  6 . With varying degrees of significance, the majority of the statistics for each set of countries reject the null hypothesis of no cointegration. As a result, these findings suggest that throughout the years 2000–2019 in the groupings of countries, tourism and the ecological footprint have moved together and simultaneously.

In addition, the short-run equilibrium was calculated using an error correction model (ECVM) for panel data created by Westerlund ( 2007 ). If there is a short-run equilibrium, this implies that changes in tourism revenues will quickly result in changes in the ecological footprint. According to the data compiled in Table  7 , each group of countries is in short-term equilibrium.

Granger-type causality of the variables was established using the formalization created by (Dumitrescu and Hurlin 2012 ). In both country groupings, it was found that there are causal connections that stem from TUR → ECO (gha). In other words, changes in the number of visitors will have an impact on the ecological footprint on average in both European and Latin American countries. When considering the direction of the effects and their potential externalities to the research variables, these causal analyses are crucial for the creation of policy implications (see Table  8 ).

To do this, the Phillips and Sul ( 2007 ) proposed convergence club technique is used, which finds three convergence clusters with the possibility of the two final clusters combining to form a single club. The convergence club hypothesis, which holds that countries moving from a point of environmental imbalance to their club-specific steady state trajectory belong to the same cluster, is where the three mega clubs in Table  9 come from.

Table 9 shows that there are three clubs and three divergent units in club 4 for Latin America. It lists the number of units (countries) covered for each club, as well as the beta coefficient of the log-t test and the value of the t-statistic. Since the t-value for clubs 1 and 2 is less than −1.65, the null hypothesis of convergence is rejected at the 5% level; however, the hypothesis is not rejected for club 3.

On the other hand, two clubs representing 9 and 4 countries, respectively, are shown for the 18 countries that make up the European Union, along with 5 divergent units in club 3. Given that the t-value in the two established clubs is less than −1.65 in this case, the null hypothesis of convergence is rejected at the 5% level.

The results in Fig.  3 a, b demonstrate graphically that the economies of Europe and Latin America are not close to reaching their stationary states. In addition, the last graph of each section (a) and b)) shows the comparison between the average transitory behavior of each club, where it can be more clearly identified that the path of the countries in both regions has a different pattern.

Transition paths within each convergence club in the 14 Latin American countries and transition paths within each convergence club in the 18 European Union countries

5 Discussion

In the previous section, the results of the estimated GLS are presented, which allowed to establish the relationship of the ecological footprint based on the logarithm of international tourist arrivals, showing a negative effect on the panel of Latin America and Europe. In other words, as tourism increases, it has a positive and significant effect on the deterioration of the ecological footprint in both regions. These results are similar to those found by authors such as Porto and Ciaschi ( 2021 ) and Arbulú et al. ( 2015 ), who by using generalized least squares verified that tourism activity causes an increase in environmental degradation, measured through carbon emissions for 18 Latin American and 32 European countries. This suggests that the non-linear impact of tourism on the environmental degradation of countries is not sustainable as tourism increases, so efforts to mitigate environmental degradation from tourism must be implemented (Simo-Kengne 2022 ).

Both the existence of short-term (Westerlund 2007 ) and long-term equilibrium (Pedroni 1999 , 2004 ) have been tested using the approach. Similar methodological techniques are used by studies such as Ochoa-Moreno et al. ( 2022 ), Ghosh et al. ( 2022 ), and Saqib and Benhmad ( 2020 ) to establish equilibrium correlations in various study samples. The findings show that during the period 2000–2019, tourism growth and the ecological footprint in global hectares per capita have a combined and synchronous movement in both sets of countries. This is in line with Saqib and Benhmad’s ( 2020 ) hypothesis that the dynamics in developing countries affects how these variables are balanced. This is because the tourism industry generates significant economic advantages, while also contributing to an increase in environmental degradation. Due to the fact that these countries have not yet transitioned from traditional energy sources to more cutting-edge and environmentally friendly technology in tourism, the host country will suffer.

On the one hand, Granger’s causality (Dumitrescu and Hurlin 2012 ) showed that the ecological footprint and growth of tourism in both categories of countries had mutual causal links. In other words, the extraction and exploitation of natural resources is accelerated by the economic growth of industrialized economies, which reduces the biocapacity of the environment and increases the ecological footprint (Panayotou 1993 ). This finding is comparable to those of Destek and Asumadu ( 2018 ) and Saqib and Benhmad ( 2020 ), which found a two-way causal link. On the other hand, Ghosh et al. ( 2022 ) find a two-way causal relationship between carbon dioxide emissions, tourism and ecological footprint in the G-7 countries. Ozturk et al. ( 2023 ) who use a unique technique through quantum-in-quantum regression and Granger causality and suggest a combination of positive and negative effects of tourist arrivals and CO 2 emissions at most tourist destinations. Moreover, Ekonomou and Halkos ( 2023 ) by applying Granger’s non-causality tests to a eurozone data panel suggest that all Granger variables cause greenhouse gas emissions.

In addition, the convergence analysis in both regions indicates that the sample of countries selected for this study do not have convergence in environmental terms, i.e., they do not converge towards the stationary point of each convergence club created from the Phillips cluster procedure (Philips and Sul 2007 , 2009 ). These findings contrast with those made by Simo-Kengne ( 2022 ) for a sample of 148 countries, who found that the convergence of tourism growth and environmental well-being tends to adjust at varying rates depending on the sample panels. Similarly, research by Phillips and Sul ( 2007 ) found that the relative cost of living in the 19 major American metropolises does not appear to converge over time, in addition to providing a new mechanism to model and analyze the behavior of the economic transition in the presence of common growth characteristics.

6 Conclusions and political implications

The environment is a resource and an opportunity, as well as a constraint for tourism. As a result, while engaging in tourism activities might help the environment to remain sustainable, it can also worsen its condition. The overall impact depends on the nature of tourism, as well as on contextual factors like the development of technology, the level of environmental awareness, and society’s lifestyle (Pigram 1980). Thus, the aim of the study is to investigate the connection between tourism growth and the ecological footprint in 14 Latin American and 18 European countries. To find the convergence of tourism growth and environmental sustainability, the annual period between 2000 and 2019 is examined using panel cointegration techniques and the clustering procedure.

The study findings support the notion that tourism development and environmental sustainability are mutually exclusive, since increasing biocapacity has a detrimental impact on environmental sustainability. Similarly, Danish et al. ( 2019 ), Adedoyin et al. ( 2021 ), and Chu et al. ( 2017 ), all reach the conclusion that decreasing biocapacity in Beijing, Tianjin, and Heibin is what leads to ecological improvement. These studies support the finding of Danish et al. In addition, increased tourism-related activities, globalization and economic production can all have a negative impact on the environment, as demonstrated by the research of Nathaniel ( 2021 c), who found that as tourism grows, so does energy consumption, which in turn causes the release of toxic chemicals that degrade the quality of the environment.

The current study adds important elements to the analysis of the literature on the growth of tourism and the impact on the environment, making important methodological contributions by using the ecological footprint variable as an indicator of sustainability, as well as the convergence club method presented by Phillips and Su ( 2007 ) to determine the convergence of tourist and environmental sustainability. However, some theoretical limitations have been presented, such as the lack of information for all countries in the Latin American region and the European Union; and empirical, there are limited studies examining the relationship or impact of tourism growth and ecological footprint as an indicator of environmental sustainability.

From the political point of view, it is imperative that nations take decisions and do things to achieve environmental sustainability. There are two ways to fulfill this commitment, which will ensure a smaller ecological footprint and a cleaner environment. First, it is suggested that governments and organizations adopt green tourism, which can reduce soil erosion and air pollution caused by various forms of tourism-related transportation. Second, in order to fulfill environmental preservation and economic development objectives, sustainable economic production is preferable in order to limit environmentally damaging emissions (Alola et al. 2019a , 2019b ; Nathaniel et al. 2021 ). These findings suggest that policymakers should implement financial changes aimed at sustainable development, as well as assist tourism initiatives that use renewable energy sources. Furthermore, the findings suggest that these countries economic growth goals should be combined with carbon dioxide emission legislation (Koengkan et al. 2019 ).

Data Availability Statement

Not applicable.

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Conceptualization, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Formal analysis, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Investigation, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Methodology, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Writing—original draft, V.T-D, M.C.R-R, J.Á.-G. and B.S.; Writing—review and editing, V.T-D, M.C.R-R, J.Á.-G. and B.S. All authors have read and agreed to the published version of the manuscript.

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Average transition path in the 14 Latin American countries

Average transition path in the 18 European Union countries

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