This article summarizes a study of the impacts of room taxes on the lodging industry by (1) reporting on the findings of Phase II of an overall study assessing the negative impacts on number of rooms rented of room taxes levied on the lodging industry, and (2) applying the price elasticity of market demand found in step 1 to the average amounts of room taxes paid, as measured in Phase I of the overall study. The elasticity measurement comes from a statistical model based on data from a national probability survey of the properties owned by members of the American Hotel and Motel Association taken in spring 1990.
Get full access to this article
View all access options for this article.
References
1.
Arbel, A., and S.A. Ravid (1983). "An Industry Energy Price Impact Model: The Case of the Hotel Industry." Applied Economics, 15:, 705-14.
2.
Combs, J.P., and B. Elledge (1979). "Effects of a Room Tax on Resort Hotel/Motels ." National Tax Journal, 32 (2): 201-7.
3.
Fish, M. (1982). "Taxing International Tourism in West Africa." Annals of Tourism Research, 9 (1): 91-103 (special issue).
4.
Fujii, E., M. Khaled, and J. Mak (1985). "The Exportability of Hotel . Occupancy and Other Tourist Taxes." National Tax Journal, 38 (2): 169-77.
5.
International Association of Convention and Visitors Bureaus (1989). "Summary: IACVB 1989 Bureau Funding & Expenditure Survey." Champaign, IL: Press Release.
6.
Hiemstra, S.J. (1987). Analysis and Future Needs of Human Resources Used in the Lodging Industry. Report prepared for AH&MA: RHI Department, Purdue University.
7.
Hiemstra, S.J., and J.A. Ismail (1989). Impacts of Room Taxes on the Lodging Industry: Preliminary Report. Report prepared for AH&MA: RHI Department, Purdue University, November.
8.
_(1990a). Amounts and Types of Room Taxes Levied on the Lodging Industry. Report prepared for AH&MA: RHI Department, Purdue University, April.
9.
_( 1990b). "Impacts of Room Taxes on the Lodging Industry." Hospitality Education and Research Journal (in press). Paper presented at CHRIE, Crystal City, VA , August.
10.
Mak, J., and E. Nishimura (1979). "The Economics of a Hotel Room Tax." Journal of Travel Research, 18 (Spring): 2-6.
11.
Mak. J. ( 1988). "Taxing Hotel Room Rentals in the U.S" Journal of Travel Research, 27 (Summer): 10-15.
