The determinants of tourism expenditure in Mexican households: Applying a model of logistic regression

Knowing the determinants that drive households' tourism expenditures is essential to develop policy for, and growth in, tourism activities. The central objective of this research is to identify the main variables that determine tourism expenditures and identify if these expenditures are differentiated by the type of household (rural or urban). Through a logistic regression model where the dependent binary variable was the expenses related to lodging, packages, and tours, the effects of three types of determinants were analysed: social, economic, and demographic. This model uses microeconomic data from the National Survey on Income and Household Expenditure, 2016 and 2018. The results indicate that rural households require less income for tourism expenditures; remittances have a greater influence on tourism expenditures in rural areas; and the level of education has a positive influence on spending (e.g., influencing the number of family members and the socioeconomic stratum).