1 s2.0 S2405844020321940 Main
1 s2.0 S2405844020321940 Main
1 s2.0 S2405844020321940 Main
Heliyon
journal homepage: www.cell.com/heliyon
Research article
A R T I C L E I N F O A B S T R A C T
Keywords: Improving wellbeing and livelihoods exemplify the third Sustainable Development Goal. Literature related to the
Economics tourism-renewable energy-quality of life nexus is limited and lacks consensus. This study contributes to the debate
Energy and examines the influence of international tourism arrival (TA), real international tourism receipts (TR), and
Tourism
renewable energy consumption (REC) on quality of life (QoL) by using a panel of 8 Southern African countries
Renewable energy resources
Renewable energy
spanning 1995–2017. The results found a significant positive and long-run relationship between TA, TR, and QoL.
Quality of life A significant negative effect was found between REC, trade openness (TO), and QoL while urbanization (Urb) had
Energy economics an insignificant negative impact on QoL. A unidirectional causal relationship was found running from QoL to TR
Tourism arrivals and bidirectional causality between QoL and REC. Feedback causality was found between QoL and Urb and
Tourism receipts unidirectional causality from QoL to TO. The results imply that tourism is an effective economic tool for
improving human development in Southern Africa.
* Corresponding author.
E-mail address: [email protected] (S.A. Sarkodie).
https://doi.org/10.1016/j.heliyon.2020.e05351
Received 7 August 2020; Received in revised form 21 October 2020; Accepted 22 October 2020
2405-8440/© 2020 The Author(s). Published by Elsevier Ltd. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-
nc-nd/4.0/).
S.Y. Sarpong et al. Heliyon 6 (2020) e05351
provide a great platform for policy direction in the development agenda Hitherto, it is not far-fetched that emerging economies could still go
towards improving quality of life and well-being rather than focusing ahead and attain appreciable levels of quality of life with little de-
only on areas related to income generation. It will also be relevant for pendency on energy consumption (Pasten and Santamarina, 2012). The
policymakers to develop the right strategy mix to attain and sustain QoL total number of people worldwide whose daily life is energy driven is
in a destination country. To the best of our knowledge, except for Rid- very insignificant and this accounts for 5kW per person, 49% of the
derstaat (2016) on the linkages amongst tourism development and QoL aggregate global energy demand. The argument has long stood that any
in Aruba, Croes et al. (2018) on the connection regarding QoL, tourism form of energy consumption is not a determinant of improved QoL
specialization, and economic development in Malta and Pasten and especially in developing economies. Nevertheless, some countries in the
Santamarina (2012) on the nexus of energy and QoL, no other literature developing economies have resorted to reduced energy consumption and
examines the impact of tourism and renewable energy on the quality of this has led to an improvement in QoL (Pasten and Santamarina, 2012;
life. Second, the few existing studies fail to pay attention to the southern Herring, 2006). This means that a little increase in energy consumption
African region, a vibrant tourism industry that provides a huge contri- in countries whose energy demand levels are not so high would improve
bution to growth and development. Third, the majority of the extant QoL.
literature is concentrated on the energy-QoL nexus but we decompose the On the other hand, Ertay et al. (2013) posit that dependency on
energy mix and examine renewable energy-QoL relationship vis-a-vis renewable energy is a remedy for sustainable development in health and
tourism. This examination seeks to fill this gap by examining the effect of economics. It is argued that renewables are a clean energy source that
tourism arrivals, tourism receipts by the destination country, and clean improves environmental quality, hence, reducing harmful health com-
power utilization on standard of living in Southern African countries plications due to environmental pollution. It is reported that the popu-
within sub-Saharan utilizing more recent data from 1995-2017. lation in low-income economies either consume very little renewable
A plethora of existing studies on tourism and QoL (Ridderstaat, Croes energy source or inefficiently apply energy thereby affecting their stan-
& Nijkamp 2016a; Croes, 2012a, 2012b; Chancellor et al., 2011) define dard of living (Martin, 1980). Poor countries could utilize energy to
QoL as the ultimate reason for the development of tourism. The studies improve economic growth through the benefits of agricultural produce
argue that tourism expansion has a substantial effect on QoL whether per unit of energy input (Alam et al., 1991). Given this, the returns from
direct or indirect involvement in the tourism sector (Chancellor et al., farming activities will be significant enough to advance the standard of
2011; Kim et al., 2013). The connection regarding tourism and quality of living as a result of increased income generation. It is further argued that
life could be categorized into two perspectives. The first school of villages who can take advantage of increased renewable energy demand
thought equates quality of life with growth in terms of income genera- will be able to utilize irrigation sources for farming, mechanized con-
tion, thus, wealth drives the quality of life (Croes et al., 2011; Kenny, struction projects, mixed-cropping, modernize road constructions and
2005). The second school of thought recognizes the unidimensional hy- improve QoL (Sarkodie et al., 2019). Developed economies are
pothesis of QoL, arguing that quality of life is subjective (Sen, 1999). The increasing agricultural growth and development through increased en-
social exchange theorist opines that the effect of tourism on QoL is always ergy consumption that yields a high standard of living. The amount of per
vied by community residents as one that should be able to change their capita clean power utilization is a significant indicator of living standards
lives and better their living standards (Andereck and Nyaupane, 2011; or QoL of a group of people. This is more prevalent in countries with
Andereck et al., 2007; Ap, 1992; Figini and Vici, 2010; Perdue et al., modern technology in energy production and consumption (IEA, 2010).
1991). They may express 2 key complaints against the second party. The
central dimension of the contextual approach seems irreconcilable with 2. Literature
the clear choices and learning opportunity of the person and is much
more closely linked to the circumstances and happiness of others instead Existing research on quality of life and tourism place emphasis on
of balancing out their expectations for life (Kahneman and Krueger, only one-sided relationship, in which tourism arrivals and receipts have
2006). That is, when persons adjust the conditions of living circum- significant effects on quality of life. Andereck and Vogt (2000) investi-
stances in addition to perceptions, people can assume that their gated the connection amongst inhabitants ' behavior towards leisure in-
circumstance is good (Ridderstaat, Croes & Nijkamp, 2016a,b; Sen, dustry and their backing in favour of particular tourism choices such as
1999). The focus of these studies refers to a single point in time, so it does parks, eco-tourism facilities, and cafes. The authors concluded that
not recognize the short-run and long-run outcome of tourism on QoL. tourism can have a positive effect on a community's QoL, which is a wider
Energy is needed to maintain and enhance the standard of living. The unit of measurement than the person-level quality of life. Previous
rapid change in society and the six-fold raised residents since industri- studies posit that tourism affects the QoL of any citizen or society at large
alization demands huge quantities of energy supplied predominantly by (Andereck and Vogt, 2000; Fredline, 2005; Sdrali and Chazapi, 2007;
coal and petroleum (Hall et al., 2003). Further population increase and Gjerald, 2005; Andereck et al., 2007; Marzuki, 2009; Andereck and
quality of life improvements will increase the demand for fossil fuels in Nyaupane, 2011). There is an implied suggestion in this case that QoL
the immediate future and exacerbate the related environmental conse- may be more than just tourism as a development product.
quences (IPCC, 2007; Lee, 2011). Croes (2012b) examined the association between tourism and QoL in
Meanwhile, the heavy fossil fuel usage rate is accelerating environ- the Nicaraguan and Costa Rican economies and found a two-sided cor-
mental degradation (Bentley et al. 2007). The caveat is that about relation between tourism and QoL in the context of the Nicaraguan
two-thirds of countries that produce oil have already exhausted their economy, but not same with the Costa Rican system. Per the account, the
highest production levels due to technology willingness and financial separate results could be attributable to tourism's potential where it
returns on investment. This hampers the advancement of constantly influences the QoL of the nationals of destination countries.
anti-conventional energy sources (Arent et al. 2011; Resch et al., 2008) Concerning Nicaragua, tourism development is found to improve resi-
and hydroelectric capacity is almost inundated (IEA, 2010). The dents' QoL. This includes service enhancements to the advantage of
energy-quality of life debate has raised concerns for energy investments tourism, thereby enabling a two-way relation to develop amongst the
in renewable energy sources. This has been high on the agenda of many standard of living and tourism arrivals and tourism receipts. But there is a
governments given its effectiveness in engendering clean environment diminishing effect from tourism on QoL in the case of Costa Rica.
and positive impact on the quality of life (REN21, 2011; Glaser, 2011). In contrast, tourism is found to have no significant relationship with
There is a high association between power utilization and many QoL (Algieri, 2006; Croes, 2011). According to Algieri (2006), tourism
indices of QoL (Pasten and Santamarina, 2012). In terms of current specialization is not a precursor for improved human development.
technological advancement, the proportion of the world's population that Ridderstaat et al. (2014) proofed that tourism has no consistent direct
consumes renewable energy to improve QoL stands at less than 44%. impact on the quality of life, given the absence to establish long-term
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S.Y. Sarpong et al. Heliyon 6 (2020) e05351
tourism effort that improves standards of living. The results could be serving as a factor that determines life necessities in today's world
interpreted to mean that tourism might not contribute to long-changes in (Friedlander, 1974; Dalal, 1973). Consumption of renewable energy is a
all dimensions of an individual's QoL in the case of Aruba. very important source of the energy mix, as it has very little or no
On the other, wages, wellbeing, and literacy could be improved in emissions that affect health outcomes. For this reason, energy con-
later years (Ridderstaat, Croes & Nijkamp, 2016a). Besides, Ranis et al. sumption from geothermal and wind, for example, Biogas is reported by
(2000) found that an increase in tourism specialization leads to com- Alam et al. (1991) as a critical source of energy that enables households
plexities and sophistications in the tourism sector requiring high levels of in emerging countries to have access to energy for cooking. They re-
knowledge to provide the required services. These processes could ported that this has contributed to improving quality of life, by increasing
eventually boost the quality of life through tourism-led economic life expectancy rate due to a decline in household pollution. Sustainable
development. Ridderstaat et al. (2016b) found that tourism has is a development and clean power utilization are precursors for improving
positive and significant impact on QoL in the short-run. The education the standard of living and enhancing human development (Smil and
segment of the economy stands to benefit greatly from tourism activities Knowland, 1980).
since tourism has a positive impact on QoL in both short and long-runs
(Biagi et al., 2015). On the other hand, Ridderstaat et al. (2016b) 3. Methodology and data
found nonlinear and bidirectional dynamic relations between tourism
and QoL in the short-term. 3.1. Data
Moreover, tourism is one of the driving forces of both economic
growth and environmental sustainability, hence, the interaction between Our data utilized in this paper for 11 Southern African countries span
pollution and renewable energy consumption needs further attention. 1995–2017. Variables obtained include the total quantity of tourist ar-
Katircioglu (2009a,b) studied the long-term association between global rivals (TA), total tourist receipts (TR) in destination countries measured
tourism and real GDP in Turkey and found no long-term equilibrium in current US$, renewable energy consumption (REC) is measured as the
connection regarding tourist parameters and economic growth. Accord- share of final energy consumption, quality of life (QoL), trade openness
ing to Katricioglu (2014), the growth of Turkey's tourism operations has (TO) is the total imports in addition to exports as a percentage of GDP and
contributed to the rise in both energy use and global warming. Katir- urban population (Urb) is the percentage of the total population in the
cioglu et al. (2014) examined the long-term relationship between inter- urban areas. QoL is measured with the human development indicators
national tourism, energy utilization, and pollutant pollution in the which include life expectancy. Other aspects include access to knowledge
context of Cyprus. The study found a significant and measurable impact by measuring it through the education system. The measurement of the
on the global tourist arrivals. The magnitude of the effects of tourism on mean standard of living involves the purchasing power of the people.
both energy usage and carbon dioxide pollution was significant. Jebli This index is measured on a scale between 0 to 1. Data for renewable
et al. (2019) identified a feedback causal relationship regarding clean energy were sourced from sustainable energy for all (SE4ALL) database.
power utilization in addition to tourism, implying that the two variables All the other variables were sourced from the World Bank's World
have a robust relationship amongst themselves in the long-run. Development Indicators (WDI). To allow analysis in the elasticities form,
A study Jebli et al. (2015) identified one-way causality from clean the variables were converted into their natural logarithm. Doing this we
energy consumption to global tourism and bidirectional causality be- were able to interpret the results in a way that captured long term growth
tween sustainable development, CO2 emissions, clean energy utilization, impact of the regressors on the dependent variable, QoL.
and international tourism. Their results imply that clean power utiliza-
tion leads to increased tourism receipts and arrivals which increases CO2 3.2. Conceptual framework
emissions in the long term. Examining the interlinkages between
renewable energy, CO2 emissions, economic growth, and trade, Jebli There are many ways that QoL could be operationalized into a uni-
et al. (2014) established a long-run connection regarding tourist arrivals dimension or a multi-dimension manner when considering total life
and renewable energy usage, affirming the contribution of both in satisfaction (Ryff and Keyes, 1995). Other ways of measuring QoL is
ensuring a clean environment. Renewable energy sources were found to subject to either material possessions or non-material possessions that
increase tourist activities in Nepal (2008). Again, Lee & Brahmasrene define human existence and determine their being (Easterlin and Ange-
(2013) found that renewable energy consumption was not favourable for lescu, 2012; Stiglitz et al. 2009). According to Stiglitz et al. (2009) thus,
the EU countries because tourism was negatively affecting the climate QoL could be examined from an objective or subjective perspective. The
through increased emissions. objective perspective entails basic needs such as food and clothing,
Many of the existing literature on the energy-QoL nexus lack source of income, and capacity to live. The subjective perspective con-
consensus. Alam et al. (1991) found a high correlation between energy siders factors that a person assumes as a source of self-happiness or
consumption and QoL. A higher level of energy per capita consumption provides satisfaction that allows the individual to function (Ridderstaat
was found to increase life expectancy, reduce infant mortality, and in- et al. 2016a).
crease literacy rates. The results showed a very high relationship between Critiques of the subjective perspective contend that frame of mind
physical QoL indicators and energy consumption from clean sources. The and sentiments are a mental evaluation of a condition that is deemed to
study further supported the argument that communities in developing be objective but not the condition as a whole. The argument here is that
countries are poor due to very little dependency on energy, particularly people adapt well to the society they find themselves in and that the
in agricultural activities. Besides, Revelle (1980) argued that the ineffi- environment within which they live tend to shape their feelings and
cient way through which people living in rural communities use energy thoughts. So with regards to accepting a level of satisfaction highly de-
has contributed much to their poverty levels and bad economic outlook. pends on the situation they find themselves at every point in time (Jebli
According to Rahman and Huq (1980), the economic conditions of a et al., 2015). It is, therefore, dangerous to assume that policy direction
country are greatly correlated with energy consumption. As a country could be formulated based on such adaptation as it could have serious
relies much on energy and consumes high levels, economic conditions ramifications (Dogan and Aslan 2017).
improve due to access to electricity and industrialization thereby Recognizing the essential criteria that may cause QOL, as well as
improving the standards of living (Sarkodie & Adams, 2020a, 2020b). recognizing how these criteria apply to tourism differentiation, is a key
The so-called first economies have relied greatly on the consumption of step in reconfiguring practical growth options for small island destina-
clean energy to advance their course in increasing the standard of living. tions (Liburd et al., 2012). Having a deeper understanding of the dy-
This is because the majority of the population in these developed econ- namics of the objective indicators with potential influence on QoL and
omies have access to electricity, which an important social amenity is evaluating its impact on tourism and renewable energy consumption is
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S.Y. Sarpong et al. Heliyon 6 (2020) e05351
important in standardizing representative developmental alternatives for 3.3. Specification of the model
the southern African region. This study utilizes the human development
indicators which include life expectancy, average years of schooling, and In theory, our study follows Katircioglu (2009b) in specifying the
standard of living to conceptualize QoL. model. Particularly, tourism arrivals and tourism receipts could serve as
Clean power is the percentage of renewable power in final power significant factors for the human development indicators. We measure
utilization. Standard of living measures the aggregate nationwide earn- renewable energy consumption, trade, and urbanization as a driving
ings per capita of a country. According to Katirciolglu (2009b), there are force for quality of life. Thus, the empirical model of our study examined
different ways of examining tourism variables which involve tourism the impact of international tourism, renewable energy consumption,
receipts, the number of nights spent by visitors from overseas, and the trade openness, and urbanization on quality of life. The functional rela-
total number of international tourist arrivals. This study uses the total tionship between the variables results in the following equation;
number of tourist arrivals and total receipts in the destination nations.
The number of tourist arrivals is the total number of visitors who arrive in QoLit ¼ f ðTAit ; TRit ; REit ; TOit ; Urbit Þ (1)
a destination country other than any other activity for remuneration However, the general specification of the natural logarithm trans-
within the visited country. Total tourism receipts are the expenses on formation of Eq. (1) is given as:
goods and services made by visitors who travel to a destination country
for tourism purposes. This variable is measured in current United States QoLit ¼ α0 þ α1 lnQoLit1 þ α2 lnTAit2 þ α3 lnTRit3 þ α4 lnREit4 þ α5 lnTOit5
dollars. Variables for tourism were obtained from the World Tourism þ α6 lnUrbit6 þ δi þ ρt þ 2it
Organization database.
(2)
The influence of tourism arrivals, real tourism receipts, and sustain-
able power utilization on standard of living was examined alongside two where QoLit is the quality of life of a country in at a time t; TAit is the
other controlling variables, trade openness and urban population. This international tourist arrivals in a destination county; TRit is the total real
implies that the relationship under consideration is in a multivariate tourism receipts; TOit represents trade openness; Urbit is the urban
form, thus, including predictors exceeding one. The long term relation- population. δi and ρt effects presented by a specific country within a
ships were expressed as logarithms — where the coefficient of the esti- specified period related to the variables correspondingly. 2it denotes the
mations are in elasticities. First, to ensure that variables for this study are error term of the equation. Parameters to be estimated is denoted by α.
stationary, we estimated the stationarity test using four different tech-
niques including Levin et al. (2002), Im et al W-stat (2003), Dickey &
4. Empirical results
Fuller test (1981), and the Phillip & Peron test (1988).
Next, we undertook the test of cointegration to identify the presence
We initially determined the correlation between the study vari-
of cross-dependency and a long-run equilibrium connection regarding
ables. The correlation results in Table 1 demonstrate that QoL is
the variables under consideration. We utilized a Kao cointegration test
negatively (p-value < 0.01) associated with renewable energy con-
(1999) and Pedroni cointegration (2004) tests to found the possibility of
sumption. Apart from this observation, all the other independent
a long-term equilibrium association.
variables have a positive correlation with the quality of life. The
We employed three different techniques namely autoregressive
correlation between quality of life and tourism arrivals and quality of
distributed lag model (ARDL), fully modified ordinary least squares
life and tourism receipts are significant. The association between trade
(FMOLS) (Phillips, 1995), and dynamic ordinary least squares (DOLS)
openness and quality of life is significant but the latter is not signifi-
(Stock and Watson, 1993) to estimate the long and short-run connections
cant with urban population. The results also show a negative and
regarding the control variables and the dependent variables. The ARDL
significant association between clean power utilization in addition to
approach for the estimation of long and short-run relationships is a good
tourism arrivals, tourism receipts, trade openness, and urban popu-
way of estimating the cointegration between the variables by selecting
lation. Tourism arrivals and tourism receipts are positively and
the Akaike Information Criterion (AIC) in selecting the maximum lag
significantly associated with one another. The results show a weak
length of the variables. Besides the F-stat is a reliable estimator for
positive correlation between tourism receipts and urbanization but a
determination of cointegration.
negative association between urban population and tourism arrivals.
FMOLS is a recent approach that assists in estimating the maximum
cointegration equivalence (An and Jeon, 2006). One characteristic that
makes the FMOLS powerful and preferred is its ability to assist in regu- 4.1. Unit root test
lating serial correlations and issues of endogeneity in the regressors
emanating from the cointegration relationship by transforming the or- We estimated the unit root test to establish the stationarity of the
dinary least squares (OLS) (Hansen, 1995; Phillips and Hansen and variables by employing Levit, Lin & Chu (2002), Im et al. (2003),
Phillips, 1990). The DOLS approach, on the other hand, calculates the Augmented Dickey and Fuller (1981) and Philip and Perron (1988)
criterion variable on the predictor when the levels, lags, and clues of the techniques. The techniques assume both common and individual unit
predictor variable are exhausted. Issues of biases associated with small root processes. The unit root test results displayed in Table 2 shows that
samples, endogeneity, and serial correlation are taken care of by the all the variables were not stationary at level but stationary at first dif-
DOLS techniques by adding the lags of the predictors (Sharif and Raza, ference, meaning that the properties of the variables are integrated of
2016; Stock and Watson, 1993). These methods were adopted to allow order I[1].
for reliability and robust estimations for unbiased policy directions.
We used the Dumitrescu-Hurlin granger causality test to identify the 4.2. Cointegration test results
direction of causalities regarding the study variables (Dumitrescu and
Hurlin, 2012). The standard Granger causality method is different from After ensuring the stationarity of the variables, we proceeded to
the approach approved in this examination undertakes varying co- identify the possibility of long-run equilibrium association between
efficients across cross-sections. The approach is also applicable in situa- the variables by estimating the cointegration test. We used two
tions where T>N and T<N and even in terms of an unbalanced and different cointegration test approaches for the panel namely Kao
heterogeneous panel. cointegration & Pedroni cointegration tests. The trend assumption
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S.Y. Sarpong et al. Heliyon 6 (2020) e05351
we used was deterministic intercept and trend. Both test results 4.3. Long-run relationship
shown in Table 3 indicate that the variables are cointegrated and
have possibilities of long-run relationship because the outcome leads Having established the possibility of a long-run association between
to the rejection of the null hypothesis of no cointegration at 1% and tourism arrivals, tourism receipts, renewable energy consumption, and
5% significance levels. The Pedroni test results show that out of the quality of life, we continued to estimate the ARDL estimation to identify
seven estimation techniques, 4 of them are significant at 1% and 5% the long-run and short-run coefficients. The cointegration association
levels while the Kao cointegration approach shows a significance regarding the variables in Southern Africa is reliable with the outcomes
level at 1%. of our estimations. The ARDL valuation results in Table 4 proofs that in
t-Statistic Probability
ADF -2.528976 0.0057***
Residual variance 0.001851
HAC variance 0.002189
Pedroni residual cointegration test
Alternative hypothesis: common AR coefs. (within-dimension)
t-Statistic Probability Weighted Statistic Probability
Panel v-Statistic -0.763492 0.7774 1.705610 0.0440**
Panel rho-Statistic 1.551318 0.9396 2.382671 0.9914
Panel PP-Statistic -1.930130 0.0268** -0.523231 0.3004
Panel ADF-Statistic -1.985946 0.0235** -0.285751 0.3875
Alternative hypothesis: individual AR coefs. (between-dimension)
Group rho-Statistic 3.338639 0.9996
Group PP-Statistic -2.390380 0.0084***
Group ADF-Statistic -0.958558 0.1689
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Table 4. Long-run and short-run equilibrium relationship: ARDL (2,1,1,1) Test Results.
Long-Run Equation
the long-run both TA and TR have a robust positive relationship with economic advancement through foreign exchange receipts from tourism.
quality of life at 1% significant level in an average Southern African Another possibility is that the tourism industry has put in place proper
country. On the other hand, REC, TO, and Urb have a significant negative structures to absorb the number of visits and to utilize tourism inflows to
relationship with QoL at 1% level in the long. Ultimately, the results impact positively on education and health due to significance in eco-
provide that TR has the most significant relationship with QoL in the nomic growth. But on the other hand, a 1% change in renewable energy
long-run showing that a percentage change in TR leads to a 0.16% consumption, trade openness, and the urban population will reduce the
improvement in QoL. This was followed by TA which provided that QoL quality of life by 0.49%, 0.10%, and 0.12%, respectively, which consis-
of the Southern African people will improve by 0.13% with a 1% change tent with (Ertay et al., 2013) but contrary to (Jebli et al., 2019). Estimates
in TA. Alternatively, a 1% change in REC leads to a 0.67% decrease in from the DOLS show that a change in tourism arrivals and tourism re-
QoL. Besides, a percentage change in TO results in a 0.22% decrease in ceipts will increase the quality of life by 0.29% and 0.51% respectively.
QoL whiles a 1% change in Urb leads to a 0.01% reduction in QoL. Also, a 1% change in renewable energy consumption, trade openness,
and urban population reduces the quality of life by 0.70%, 0.20%, and
4.4. Sensitivity analysis 0.46% correspondingly. These results imply that developing countries
like the Southern African region cannot rely safely on renewable energy
To check the sensitivity of our long-run equilibrium relationship re- sources to effectively impact human development, thereby improving
sults, we estimated the FMOLS and the DOLS. Outcomes of the FMOLS standards of living. Even though renewable energy sources such as biogas
and DOLS presented in Table 5 are not different from those produced by could serve as a significant and important source of energy for house-
the ARDL estimations. Besides, the coefficients are identical across model holds. The results show that emerging economies may not have exploited
estimations for the ordinary least square model. In terms of the magni- this source of energy in agriculture and industrial sector to boost pro-
tude of the relationship with the dependent variable, quality of life, the duction and increase output. Trade has not been liberalized in a manner
coefficients are similar. The coefficients produced by the two techniques that seeks to improve human development. International trade in goods
are unbiased (Pedroni, 2004; Kao, 1999). The FMOLS results from and services among the countries and between other international
Table 5 show that a 1% change in both tourism arrivals and tourism economies has not been efficient enough to boost economic advancement
receipts will increase the quality of life by 0.05% and 0.003% respec- and thereby improve quality of life. Probably there are poor institutional
tively. This results is consistent with (Andereck and Vogt, 2000; Fredline, framework and foresight in the area of trade to enable the countries to
2005; Sdrali and Chazapi, 2007; Gjerald, 2005; Andereck et al., 2007; take advantage of today's open market economy. The percentage of the
Marzuki, 2009; Andereck and Nyaupane, 2011) and in contradiction population living in urban cities does not contribute to improving human
with some studies (Ridderstaat et al., 2014; Croes, 2012a, 2012b; Algieri, development. These results could be inferred that urban centres are
2006). The results imply that countries have utilized the tourism sector to developed without proper planning to provide adequate social amenities
improve the standard of living. Maybe the population has high literacy and services.
levels in science and technology which has consequently boosted
Table 5. Robustness check of long-run relationship with QoL: FMOLS and DOLS results.
Note: prob represents the p-value; FMOLS is fully modified ordinary least square; DOLS is dynamic ordinary least square.
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4.5. Dumitrescu-Hurlin granger causality test findings impact positively and significantly on the quality of life of the destination
countries. There should be policy direction that ensures sound human
After confirming the long-run relationship and reporting the capital enrichment for the domestic citizens so that they would be more
outcome, it was very relevant to establish the causal relationship between competitive with immigrants.
QoL, REC, TA, TR, TO, and Urb. This was important because it serves as a Given that tourist arrivals and real tourism receipts lead to a long-run
guide for policy. The estimation output shows in Table 6 that there is a relationship, governments in the region should ensure that the AU social
two-way causality between QoL and RE, between QoL and Urb, and be- policy framework CAMSD/EXP/4(I), as well as the AU/NEPAD Tourism
tween TA and TO consistent with (Dogan et al., 2017; Ritchie and Action Plan (TAP), is vigorously pursued. So that the objectives therein
Crouch, 2003). We established a one-way causal relationship running would be achieved to their benefit of improving quality of life of their
from QoL to TR (Croes et al., 2011), from QoL to TO, from TA to REC, people. Immigration procedures should be relaxed for people to get ac-
from TA to TR, and from TR to Urb. It is worthy to note that the esti- cess to travel to countries of interest to visit. One important aspect of the
mation showed no causal relationship between TA and QoL. All results economy that could encourage tourism in destination countries is secu-
for the causal relationship in Table 6 are statistically significant. The rity. It is therefore incumbent on governments of these countries to put in
observation of a two-way directional causality between QoL and REC proper security measures that would ensure the safety and protection of
implies that the agenda of the African states to ensure the decomposition visitors at all times. Lessons could be learned from the South African case
of the energy mix of fossil fuel energy, gas, and oil from QoL is pro- where xenophobia took a centre stage and deterred prospective tourists
gressively positive as renewable energy consumption is a driving force into the country.
for QoL. Again, QoL drives TR in a one-way direction in the southern The long-run relationship showed a significant negative relationship
African region. The results imply a negative impact on human develop- between renewable energy consumption and quality of life. Meanwhile,
ment as a result of uncontrolled tourism arrival for the Southern African the causality results showed a two-way relationship between renewable
economies which have tried to achieve substantial level strides in the energy consumption and quality of life. These results imply that this re-
tourism sector. The significant evidence of Granger causality for TR with gion does not conform to the energy targets set out, for instance, the
QoL means that real tourism receipts in a destination country will lead to Kyoto Protocol and the Paris agreement which are all aimed at reducing
increased foreign exchange earnings which will ensure growth and the global mean temperature below 2 C. The caution here for policy-
development leading to improve the standard of living of the people. makers is that timely and careful steps must be taken in the energy policy
Through tourism, the countries stand the chance of receiving foreign direction to have the right energy mix that would impact the living
exchange earnings by way of demand for goods and services from visi- standards (Alola et al., 2019; Emir and Bekun, 2019). Technological
tors, which eventually leads to an improved standard of living in the advancement in an unpolluted energy source like photovoltaic panels
destination country. This is a precursor for earnings for the domestic and mini-wind generators could be used to integrate the energy distri-
citizens coming from accommodation, feeding, and entertainment, just to bution grid. Energy policy direction could heavily rely on the utilization
mention a few (Jebli et al., 2014). of poly generation systems in micro-power generation in the business and
public sectors.
5. Conclusion and policy implications According to the International Renewable Energy Agency, about 40%
of the residents of the African continent are concentrated in rural com-
This study empirically investigated the impact of tourism arrivals, munities which presents the opportunity for them to benefit from in-
tourism receipts and renewable energy consumption, trade openness, clusive methodologies in energy development (IRENA, 2014). Sectors
and urbanization on quality of life for a panel of 8 Southern African such as health, education, agriculture, water, and telecommunications
countries utilizing currently available panel data from 1995-2017. Pri- can take advantage of these processes. In this regard, the southern Afri-
marily, the paper aimed to examine the effects of tourist arrivals and can countries should pay particular attention to the provisions spelled out
tourist receipts on human development given that renewable energy is in the Paris Agreement, thus, COP21 whose purpose to vigorously pursue
deemed to be the primary energy source of production in the region. We the agenda of adding 300GW of fresh renewable electricity capacity in
employed different panel cointegration techniques which confirmed the the African continent by the year 2030. This point is very vital for energy
existence of a long-run relationship across the variables. Results of the stakeholders and policymakers in this region as a result of the negative
long-run equilibrium relationship between the variables from both impact of renewable energy consumption on quality of life. There is the
ARDL, FMOLS, and DOLS showed a statistically and positive long-run need to decompose the renewable energy sources and come to the terms
relationship between tourism arrivals, tourism receipts, and quality of that improve human lives and development.
life. This means that in the long-run the tourism sector has the potential Even though the roadmap for renewable energy consumption for the
of improving human development. Undeniably, any upsurge in tourism year 2030 in the continent demand some US$70 billion every year, this
arrivals and tourism receipts will increase the level of human develop- could be possible when governments of the continent commit themselves
ment. However, the opposite was found when Ridderstaat et al. (2014) to the course by reducing corrupt practices and a great amount of po-
investigated the impact of tourism development on the quality of life on litical willingness and ambition to achieve the fate (UNECA, 2018).
the small island of Aruba. The study results were attributable to the Another important thing is for countries to open up doors for the private
inability of the tourism industry to cause improvements in quality of life. sector to invest in the energy sector which is a good mechanism for
This clearly shows that the results of this current study support the reducing the financial and other resource burdens of government. A
assertion that tourism in the Southern African region is capable of conducive financing environment is required for private sector invest-
improving all the ingredients involved in quality of life. ment and inclusion in this area. All these put together is a good fight
Tourism enhances health and long life, improves literacy rates, and towards the achievement of the sustainable development goal (SDG) 7
contributes to economic growth by improving standards of living. This for a cleaner environment which will impact positively on human
suggests that the concentration of the development agenda should not development.
only be based on increasing individual incomes but the provision of so- In terms of trade openness and urbanization, the results of this study
cial services including health care and access to knowledge acquisition. showed a negative impact on the quality of life. The results imply that
This plays a critical role in welfare and subjective wellbeing which can trade policies in the region are not conducive enough to engender growth
empower people's developmental agenda (Stiglitz et al., 2009). Another and development. It is incumbent on governments to initiate appropriate
policy implication is that improving quality of life is important but this effective international trade policies that would go a long way to
should go beyond education and health. The policy directions on tourism welcome foreign direct investment in goods and services in the region.
should be able to be adjusted in such a way that it could effectively There is the need to liberalize trade policies that will open up the window
7
S.Y. Sarpong et al. Heliyon 6 (2020) e05351
of opportunity for international investments and even for the local citi- Acknowledgements
zens to invest in the economy. This will ensure job creation that results in
employment for the people. The findings of the negative relationship Open Access funding provided by Nord University.
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