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Money illusion and inflation management in tourism: the hotel industry case



Money illusion and inflation management in tourism: the hotel industry case



Annals of Tourism Research 7(3): 395-405



Using regression analysis, this study examines the relationship between inflation, room rates, capacity utilization, and profitability in the hotel industry. The results show that room rates and nominal profits have been strongly related to inflation while occupancy rates and real profits have been independent of inflation over the 20 year period examined.

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Accession: 000931755

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DOI: 10.1016/0160-7383(80)90031-6


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