Table 1.
Variable definition and sources.
| Time series and variables | Definition | Source |
|---|---|---|
| ln(Domestic guest nights)it | The logarithm of the number of domestic guest nights for region i at time t | Statistics New Zealand |
| ln(Domestic guest night)it-1 | The previous period's number of domestic guest nights for region i at time t. This variable is created by taking one-period lag of ln(Domestic guest nights)it | Statistics New Zealand |
| (%) of domestic guest nightsit | Market share of domestic guest nights for region i at time t, calculated as the number of domestic guest nights divided by the total guest nights (domestic and international) region i at time t. This variable is reported as a percentage (%) | Statistics New Zealand, author's own calculation |
| ln(LCC's ASK)it | The logarithm of available seat kilometres (ASKs) scheduled by the LCC (Jetstar) for the airport of region i at time t | Official Airline Guide |
| (%) of LCC's ASKit | Market share of the LCC's ASK for the airport of region i at time t, calculated as ASKs scheduled by the LCC divided by the total ASKs scheduled by all commercial airlines for that airport at time t. This variable is reported as a percentage (%) | Official Airline Guide, Author's own calculation |
| LCC dummyit | A binary variable that takes 1 after the entrance of LCC's services for the airport of region i at time t and 0 otherwise | Author's own calculation |
| ln(GDP per capita)t | The logarithm of GDP per capita of New Zealand at time t | Statistics New Zealand |
| ln(RTI-Accommodation)it | The logarithm of the RTI of accommodation costs for domestic tourists for region i at time t | Ministry of Business, Innovation & Development |
| ln(RTI-Food & Beverage)it | The logarithm of the RTI of food and beverage costs for domestic tourists for region i at time t | Ministry of Business, Innovation & Development |
| ln(Aviation fuel price)t | The logarithm of aviation jet fuel price per gallon at time t in New Zealand dollars | US EIA Energy information Administration |
| ln(Petrol price)t | The logarithm of petrol price per litre at time t in New Zealand dollars | Ministry of Transport |
| ln(HHI index)it | Airport competition between low-cost carrier and incumbent carrier of region i at time t | Author's own calculation |
| Exchange rate (NZD vs.USD)t | The exchange rate between New Zealand and US dollars at time t | Reserve Bank of New Zealand |
| Global financial crisis 2008/09 | A binary variable that takes 1 for the period of the global financial crisis in 2008/09 and 0 otherwise | Author's own calculation |
| Christchurch earthquakes 2011 | A binary variable that takes 1 for the period of the Christchurch earthquakes between from February 2011 to January 2012 and 0 otherwise | Author's own calculation |
| Seasonal dummies | A dummy variable for each month of the year | Author's own calculation |