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Tourism Economics· 2026Q1

Economic policy uncertainty and air travel demand: State-level evidence from the United States

Yiming Dai, Özgür Özdemir, SoYeon Jung, Saeed Ehsanfar

Short summary

Higher economic policy uncertainty (EPU) is linked to a decrease in air travel demand, with a 10% increase in EPU associated with a 0.3% drop in passenger flows.

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Field: General Economics, Econometrics and Finance

General Economics, Econometrics and FinanceEconomics, Econometrics and Finance