Does Vaccination Help to Reduce Financial Stress on Tourism Subsectors?

Oguzhan Cepni*

*Corresponding author for this work

Research output: Contribution to journalJournal articleResearchpeer-review

19 Downloads (Pure)


Although there is rapid vaccination progress in the US and improvement in broad service activity upon reopening, no meaningful recovery has been achieved in tourism-related sectors until now. Therefore, we take a deep dive into tourism-related sectors and investigate how the effect of COVID-19 vaccination progress differentiates on the financial distress of tourism subsectors. Using a time-varying parameter VAR model, we quantify the financial distress in each tourism subsector and relate these measures with a daily number of newly vaccinated people. Our empirical findings indicate that specific tourism subsectors re-spond more to vaccination progress, and accordingly, financial stress has started to decline in these sectors. However, the effects of vaccination on airlines and hotel sectors are insignificant, implying that the recovery process will take longer in these subsectors.
Original languageEnglish
JournalTourism Economics
Issue number7
Pages (from-to)1937-1946
Number of pages10
Publication statusPublished - Nov 2023

Bibliographical note

Published online: 2 Sep 2022.


  • Pandemic
  • Covid-19
  • Uncertainty
  • Vaccination
  • Tourism
  • Hospitality
  • Economy

Cite this