The aim of this article is to model the decisions of tourists and a monopolist firm when weather forecasts are available. Before deciding whether to go on holiday or not, but after the firm has decided and posted its price, tourists can look at weather forecasts. Our results show that the price chosen by the firm and the corresponding equilibrium profit are decreasing as a function of the accuracy of weather forecasts. Consumers, instead, are better off, the more accurate weather forecasts become. Managerial and policy implications are also derived.

Should i stay or should i go?' : Weather forecasts and the economics of 'short breaks / L. Zirulia. - In: TOURISM ECONOMICS. - ISSN 1354-8166. - 22:4(2016 Aug 01), pp. 837-846. ((Intervento presentato al 55. convegno Congress of the European-Regional-Science-Association tenutosi a Lisbon nel 2015 [10.1177/1354816616654256].

Should i stay or should i go?' : Weather forecasts and the economics of 'short breaks

L. Zirulia
2016

Abstract

The aim of this article is to model the decisions of tourists and a monopolist firm when weather forecasts are available. Before deciding whether to go on holiday or not, but after the firm has decided and posted its price, tourists can look at weather forecasts. Our results show that the price chosen by the firm and the corresponding equilibrium profit are decreasing as a function of the accuracy of weather forecasts. Consumers, instead, are better off, the more accurate weather forecasts become. Managerial and policy implications are also derived.
Firm pricing; Tourist behaviour; Weather forecast
Settore SECS-P/01 - Economia Politica
21-lug-2015
European Regional Science Association
Article (author)
File in questo prodotto:
File Dimensione Formato  
2016 Zirulia.pdf

accesso riservato

Descrizione: Versione pubblicata
Tipologia: Publisher's version/PDF
Dimensione 205.15 kB
Formato Adobe PDF
205.15 kB Adobe PDF   Visualizza/Apri   Richiedi una copia
2016 Zirulia preprint.pdf

accesso aperto

Descrizione: Articolo principale
Tipologia: Pre-print (manoscritto inviato all'editore)
Dimensione 376.58 kB
Formato Adobe PDF
376.58 kB Adobe PDF Visualizza/Apri
Pubblicazioni consigliate

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/2434/812664
Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus 6
  • ???jsp.display-item.citation.isi??? 6
social impact