Does tourism type concentration/diversification boost inbound tourism revenues in Turkiye?

This study investigates the impact of tourism type concentration/diversification on tourism revenues in Turkiye. For this purpose, the study calculates an indicator that measures tourism type concentration using the normalized Herfindahl Hirschman Index (HHI) and the number of tourists in 10 different categories according to their purpose of visit and subsequently, examines the effect of this concentration in a model estimated for inbound tourism revenues. Findings of the study based on the autoregressive distributed lag (ARDL) model indicate that tourism type concentration positively affects inbound tourism revenues. More precisely, it was found that a certain increase in the concentration (decrease in the diversification) level causes an increase (a decrease) in inbound tourism revenues at approximately the same percentage.